A WARN Act notice was filed with the state by the publicly traded cannabis foreign company TerrAscend Corp which owns brands such as Gage Cannabis and Cookies.  230 Michigan employees will lose their jobs as the company flees Michigan.

Here’s why:

TerrAscend’s Executive Chairman, Jason Wild, stated that “Michigan is an extremely difficult market.” The company found that its resources could be better used in other markets. Sources indicate that challenges in Michigan’s cannabis market include:

• Oversupply: The state has faced issues with too much cannabis, leading to falling prices.
• Thin Margins: The legal marijuana market in Michigan has become very competitive, making it hard for companies to make a significant profit.
• Proposed Greed Tax Increases: A proposed 32% tax on marijuana products by Governor Gretchen Whitmer, on top of existing taxes, would have further increased costs for businesses.

• CANNABIS COMPANY OFFERING ITS RETAIL LICENSE FOR FREE
• ORDINANCE WOULD ALLOW FOR UNLIMITED MARIJUANA SHOPS IN WARREN
• BUILD IT AND THEY WILL COME – FROM INDIANA

• AUCTION-STYLE MARKETPLACE FOR BULK BUYING AND SELLING CANNABIS

For more details, you can refer to articles from:

• Cannabis Giant Announces Major Cuts: ‘Extremely Difficult Market’ – Newsweek
• Marijuana MSO TerrAscend is planning to exit Michigan market – MJBizDaily
• TerrAscend Announces Strategic Exit from Michigan Market

OK – Goodbye

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