AUDACIOUS (CSE: AUSA) (OTCQB: AUSAF) is poised to enter the New York cannabis market via a partnership with First Americans, LLC.
The Las Vegas-based cannabis company confirmed Tuesday that it has signed a letter of intent with First Americans, LLC of the Saint Regis Mohawk Tribe in upstate New York for the joint development of a cannabis operation on tribal land.
"This is our first move into the New York state cannabis market, which with a population of approximately 20 million people represents a truly enormous opportunity,” Terry Booth, CEO of AUDACIOUS stated. “We are delighted to be partnering with First Americans to help develop a thriving cannabis operation in this high-traffic area of northern New York state. This deal expedites adult usage sales in New York State. With the statewide start of adult use sales not expected to commence for at least another 18 months, this partnership creates an incredible early-mover advantage that we and our First Americans partners will look to capitalize on."
The Partnership Details
- The region in which the operation will be established will serve a population of approximately 300,000 people.
- The first dispensary will be located immediately opposite the Akwesasne Mohawk Casino and Resort, which has approximately 2.4 million visitors annually.
- The partnership will develop an AUDACIOUS "Achieve12" cultivation facility (producing more than 10,000 pounds of dried flower per year), including processing and manufacturing of derivatives.
- The collaboration with First Americans, LLC aligns with the AUDACIOUS' commitment to support New York's cannabis social and economic equity plan, including encouraging applications from and awarding the majority of licenses to those communities that have been disproportionately impacted by cannabis prohibition, as well as to individuals/groups that promote racial, ethnic and gender diversity.
"Teaming up with the AUDACIOUS team, including ALPS, brings crucial experience in the cannabis industry that we believe will provide us with very significant competitive advantages in this market," Rick Hamelin, president of First Americans said in a statement. "We are very pleased to be working with the AUDACIOUS team and look forward to providing consumers in New York state with first-class cannabis products in the adult usage arena before most of our competitors while creating significant new employment in this community."
About New York's Marijuana Market
The New York state cannabis market is estimated to reach $3 billion per annum within the first few years of the launch of legal adult-use sales, according to data analyst firm Headset. With a population of approximately 20 million people, the state is close in size to Florida where medical marijuana sales alone already account for $1 billion – nearly double that of Illinois, which posted adult-use sales in excess of $1.2 billion through November 2021.
AUDACIOUS shares closed Monday market session 0.48% higher at 13 cents per share.
Photo: Courtesy of CNW Group/Australis Capital Inc.