Momentum Public Relations
Press Release: May 9, 2019
Grown Rogue International Inc. (CSE: GRIN | OTC: GRUSF) (the “Company“) reports record sales of approximately US$1.0m in April, more than three times the average monthly revenue achieved during the Company’s fiscal first quarter ended January 31, 2019. Sales were boosted by new bulk wholesale orders during its fiscal second quarter ended April 30, 2019.
“Grown Rogue continues to gain recognition in the hyper-competitive Oregon market at the retail dispensary level, and recently at the bulk wholesale level as well,” explained Obie Strickler, CEO of Grown Rogue. “Bulk wholesale transactions helped boost our April sales as market demand for quality product is beginning to outstrip supply in some regions. We are hearing from our accounts that sourcing product is becoming the challenge in Oregon, not finding demand for it. Our recent LOI for the acquisition of Decibel Farms was part of our solution to increase our production to meet this growing demand for our products. We believe that the previously over-supplied Oregon market – widely considered the most competitive in North America – is reaching an equilibrium which could drive prices up.”
The Company continues to explore bulk sales opportunities as it can drive large revenue gains with sound margin, but budgeting conservatively as the nature of the bulk business can be inconsistent.
Through a dual strategy of organic and acquisitive growth the Company has been expanding operations in each of the multiple States where its operations or assets exist including Oregon, California and Michigan. Organic growth in Oregon is being complemented with attractively priced acquisition targets such as the recently announced intent to acquire of Decibel Farms.
Grown Rogue’s Michigan priorities are focused on establishing a presence in the adult-use marketplace with current agreements with operational partners that include two retail dispensaries in highly coveted and limited areas (Detroit, Hazel Park) as well as a 19,000 sq ft cultivation center in a Detroit Suburb.
The Company’s California operations are anticipated to come online with Grown Rogue products available this summer. Grown Rogue’s operations in California include distribution teams in northern and southern California and a 16,000 square foot multi-use (cultivation, retail, processing) center in Eureka, California.
“Our team knows how to navigate challenging cannabis market conditions because the early days of legalization in Oregon forced us to rapidly update strategy and tactics to ensure success,” said Jacques Habra, Chief Strategy Officer for Grown Rogue. “As cannabis becomes legal in new states, operators face similar challenges which is where a proven leader like Grown Rogue can excel. This is one of the prime opportunities for our moves into new states. The timing between medical and recreational legalization, which we are now seeing in Michigan and other states we are exploring, requires tactical and effective management.”
About Grown Rogue
Grown Rogue International Inc. (CSE: GRIN | OTC: GRUSF) is a vertically‐integrated, multi‐state cannabis company curating innovative products to provide consumers with the right cannabis experience. Each of Grown Rogue’s products and strains are categorized and marketed based on unique effects and designed for the full range of a consumer’s lifestyle. Grown Rogue is scaling the vertically integrated model into multiple states by incorporating best‐in‐class manufacturing facilities and a proprietary distribution platform based on Microsoft technology. Grown Rogue’s diverse cannabis product suite includes premium flower, patent‐pending nitrogen sealed pre‐ rolls, oil and concentrates, and edibles featuring a partnership with world‐renowned chocolatier, Jeff Shepherd.