The Future is Bright for this Burgeoning Cannabis Company
Citation Growth Corp
Citation Growth Corp (CSE: CGRO / OTCQX: CGOTF) is a licensed cultivator and producer of organic and high-grade cannabis and has invested in both the medical and recreational cannabis sectors since 2014. In June 2019, the company rebranded itself under its current name after acquiring the equity interests of fellow cultivation business ACC (American Cannabis Cultivars) Group of Companies which has held indoor cannabis cultivation licenses in the state of Nevada since 2014.
Citation’s new Chief Executive Officer Howard Misle reports that, so far, the acquisition of ACC has been “a long process with a lot of moving pieces,” but was completed August 6, 2019, and has been largely positive so far. Citation is underway with integrating new management and implementing a plan to bring all the assets online and into full production. There are now a “tremendous amount of great assets,” within the company, Misle notes, and Citation will be able to maximize this to get into a strong position and acquire more assets in the future as part of the company’s greater goal within the nascent cannabis industry.
Among the company’s revised roster of brands, Gardens of We Eden is one of the premier names in Nevada. The brand uses ACC’s genetics to create a sustainable cannabis product of high quality and low cost. The products in the line are only in Nevada but are selling out well and are primed for expansion soon. Information can be found at gardensofweeden.com.
Blunt Box is another name cited by Misle, described as a unique way of distributing marijuana flower rolled cigarettes within a high-end package, marketed toward the traditional cannabis customer. Information about Blunt Box can be found at 3lunt3ox.com. Citation has also developed a brand called Superior for its high-end boutique production items, specifically for those within the Las Vegas market. Information can be found at superior-420.com.
These three brands are now available from the ACC merger, but the company also sports the home-grown Fiore Triple-Organic Certified brand in its portfolio. This EnvirOrganic Farm Certification verifies that cultivation settings use the best eco-friendly practices, are committed to social justice, and complete annual site inspections and routine sampling for every crop. Additionally, Citation’s North Las Vegas facility, home to the “Fiore” brand, also has two additional certifications, the Certified Kind Program and Clean Green Certifications. The Certified Kind Program demonstrates Citation’s ability to yield quality cannabis using organic farming procedures. Certified Kind holds cultivators, processors and distributors accountable for maintaining the highest industry standards and provides consumers with the highest-grade natural products. Clean Green Certified is a nationwide platform regulating “organic” legal cannabis. By having the Clean Green Certification, it shows that Citation uses sustainable and organically based operations, producing it naturally and responsibly. More information can be found at citationgrowth.com.
Citation has even used its resources to move into different market sectors, such as its line of skincare products under the PureCloud 9 name. The range uses a proprietary blend of organic cold-pressed hemp seed oil with botanical and exotic essential oils. These well priced, cruelty-free products extend from serums to exfoliators. Information can be found at purecloud9.com.
Misle explains that the differences in brands are due to multiple products being active within the company and because of the unique availability with the production license in Nevada. However, with the tremendous amount of cultivated product being produced per month, the company can utilize its production license and get both more brand awareness and a stronger hold in the marketplace.
There are certain places in the world where the market is much more established, which Misle hopes will be the inspiration for companies like Citation going forward. Because of the ACC acquisition, Citation Growth Corp now claims Las Vegas and Pahrump locations within Nevada for its production facilities, along with further properties in Washington and California and two sites under construction in British Columbia in Canada.
He believes the amount of business over the next two decades will expand, and the industry will go through major changes, with the hope that the U.S. federal government will be more lenient which will change how the industry is perceived.
Misle predicts that cannabis will eventually end up being a worldwide business, as there is “news every day about a new country or state becoming viable,” for the cannabis industry. Areas of the world like South and Central America, Germany, and Israel may be part of this new movement forward for a more international cannabis industry.
Currently, Citation Growth Corp boasts assets in locations like California, Washington State, Nevada, and Canada, and wants to expand those assets to their fullest capabilities for cultivation and production. Misle notes that the company is trying to obtain a dispensary license in Nevada and already possesses one in California, with a more long-term goal to become a completely integrated entity, which will depend on “availability, timing, and money.”
He identifies Citation as the premier grower in the United States, selling out of product every month and harvesting every three days, and the goal is to bring that successful system to the entire group. Citation’s North Las Vegas Triple-Organic Certified cultivation and production facility is anticipated to become one of the largest producers within the state, once the two remaining construction phases are complete.
The company has also been approved for a 586,000-square-foot expansion in its main Canadian locations in British Columbia, which is part of a joint venture to develop a 486,000-square-foot licensed cultivation facility in the province. The development will also involve constructing buildings totalling 100,000 square feet of cultivation and processing space, of which the first 20,000 square feet is under construction.
The company has projected that cultivation, along with the acquisition of dispensaries and the completion and optimization of all phases of growth, will push the company’s total revenues in Nevada to over $550 million annually for that location alone. Misle affirms that the company is “built on a good foundation of cultivation,” and while other companies will enter the cannabis marketplace already announcing revenue projections to boost image, “cultivation is the key to business, and along with our production license it will help us reach our revenue goals.”
He and the entire Citation team are very excited about the future and hopeful that people within the industry and customers will watch the company grow as time goes on.