Cannabist Stock Price, News & Analysis

The Cannabist Company Holdings Inc. (OTCQB: CBSTF), doing business as The Cannabist Company and formerly known as Columbia Care, operates in the U.S. cannabis industry as a cultivator, manufacturer and provider of cannabis products and related services. According to company disclosures, it holds licenses in 12 U.S. jurisdictions and operates a network of facilities that includes dispensaries as well as cultivation and manufacturing sites. Its operations span both medical and adult-use cannabis markets, reflecting a multi-state footprint within the medicinal and botanical manufacturing segment of the broader manufacturing sector.

The company states that it operates 77–78 facilities, including 61 dispensaries and 16–17 cultivation and manufacturing facilities, including locations under development and assuming the closure of announced divestiture transactions. This footprint supports a combination of retail and wholesale activities, with the company highlighting key markets such as Colorado, Maryland, New Jersey, Ohio, Virginia, Delaware, Pennsylvania, Florida and West Virginia in its news and filings. The Cannabist Company notes that it is one of the original multi-state providers of cannabis in the U.S.

Business model and operations

The Cannabist Company describes itself as one of the most experienced cultivators, manufacturers and retailers of cannabis products in the U.S. Its business model combines:

• Cultivation and manufacturing of cannabis products through dedicated facilities in multiple states, including significant cultivation and manufacturing space in Ohio and West Virginia.
• Retail dispensaries operating under the Cannabist retail brand and other banners, serving both medical patients and adult-use customers where permitted.
• Wholesale distribution of company-owned and partner brands to third-party dispensaries, including in markets such as Pennsylvania and Colorado.

The company reports that it operates 38,069 square feet of cultivation and manufacturing space in West Virginia, and approximately 75,000 square feet of cultivation and manufacturing space in Ohio, supporting both retail and wholesale operations in those states. In West Virginia, the company produces Old Pal-branded cannabis products at its state manufacturing facilities, while in Ohio its wholesale footprint reaches most licensed dispensaries in the state.

Retail brand and product portfolio

In 2021, Columbia Care launched Cannabist, its dedicated retail brand, creating what it describes as a national dispensary network that uses proprietary technology platforms. Cannabist-branded stores emphasize an education-forward environment and a retail experience intended to be approachable for both first-time visitors and experienced customers. Recent openings include Cannabist Norwalk and Cannabist Saint Clairsville in Ohio, which serve both medical and adult-use customers under dual-use licensing.

The Cannabist Company reports that it offers products spanning flower, edibles, oils and tablets. It also manufactures and distributes a portfolio of house and partner brands, including:

• dreamt
• Seed & Strain
• Triple Seven
• Hedy
• gLeaf
• Classix
• Press
• Amber

In addition to its own brands, the company partners with third-party brands. Examples disclosed in company news include Old Pal, a cannabis brand focused on simplicity, quality and value, and Queen Mary, a wellness-focused cannabis brand known for rosin-infused gummies and other products. The Cannabist Company cultivates and produces Old Pal products in certain states and distributes Queen Mary products through its Colorado retail and wholesale network.

Geographic footprint and markets

The Cannabist Company holds licenses in 12 U.S. jurisdictions and operates dispensaries and production facilities across multiple states. Company communications identify several important markets and activities:

• Ohio: Multiple dispensaries, including Cannabist Norwalk and Cannabist Saint Clairsville, and approximately 75,000 square feet of cultivation and manufacturing space supporting retail and wholesale operations.
• West Virginia: All Cannabist locations in the state carry Old Pal flower products, supported by 38,069 square feet of cultivation and manufacturing space.
• Colorado: Retail locations operating under The Green Solution and Medicine Man brands, as well as partnerships with brands such as Queen Mary.
• Delaware: Adult-use sales at three retail locations following the start of adult-use sales in the state.
• Pennsylvania: Transition to a wholesale-focused model following the sale of three dispensaries and execution of a supply agreement.
• Florida: Exit from the market through the sale of remaining interests in a cultivation facility.
• Virginia: Operations through Green Leaf Medical of Virginia, LLC, with assets including five active retail locations, one additional retail location in development, and approximately 82,000 square feet of cultivation and production capacity in the Richmond region, subject to a pending sale of the Virginia subsidiary.

The company’s top markets by revenue and adjusted EBITDA for a recent quarter, as disclosed in its financial results, include Colorado, Maryland, New Jersey, Ohio, Virginia and Delaware.

Strategic initiatives and asset optimization

The Cannabist Company’s Board of Directors has formed a special committee of independent directors to review strategic alternatives. According to company news and SEC filings, this review considers options such as potential asset sales, mergers, or other strategic, financial or restructuring transactions or proceedings. The company links this review to ongoing operational and financial challenges for both the company and the broader cannabis industry, as well as uncertainty regarding U.S. federal regulatory changes and tax treatment under Section 280E of the Internal Revenue Code.

As part of this strategic review and broader footprint optimization, the company has:

• Sold three dispensaries in Pennsylvania and shifted to a wholesale model in that market.
• Completed the sale of its remaining interests in a Florida cultivation facility.
• Entered into an equity purchase agreement to sell all ownership interests in its Virginia subsidiary, Green Leaf Medical of Virginia, LLC, to an entity affiliated with Millstreet Credit Fund LP for total consideration of $130 million, subject to adjustments and closing conditions, including regulatory approvals and noteholder consents.
• Previously entered into, and then terminated, an equity purchase agreement to sell the same Virginia subsidiary to Curaleaf, Inc., paying a break-up fee in connection with that termination.

The company indicates that proceeds from asset sales are expected to be used in part to redeem portions of its outstanding senior secured notes.

Capital structure and governance developments

The Cannabist Company is incorporated in British Columbia and reports that it has issued senior secured notes and senior secured convertible notes due in 2028. In an 8-K filing, the company disclosed that it elected not to make an interest payment due on these notes on December 31, 2025, citing a desire to enhance short-term financial flexibility and preserve liquidity while it evaluates strategic alternatives. Under the indenture governing the notes, the company has a 30-day grace period to make the payment before non-payment constitutes an event of default.

Corporate governance updates disclosed in SEC filings and news releases include:

• Annual general meeting results in which shareholders elected seven directors and re-appointed PKF O’Connor Davies LLP as auditor.
• The resignation of co-founder Michael Abbott from the Board of Directors, with the company noting that his departure was not due to any disagreement regarding operations, policies or practices.
• The transition of the Chief Financial Officer to a non-employee consultant role under a CFO consulting agreement.
• Approval of a key employee retention bonus program for designated employees and officers, replacing a prior transaction bonus plan, with retention bonuses tied to continued employment through critical phases of the strategic review.

Industry positioning

The Cannabist Company describes itself as one of the most experienced multi-state cannabis operators in the United States, with a focus on both medical and adult-use markets. It emphasizes its history as one of the original multi-state providers, its network of 61 dispensaries, and its portfolio of owned and partner brands. Its operations align with the Medicinal and Botanical Manufacturing industry classification within the manufacturing sector, reflecting its role in cultivating, processing and distributing cannabis products and related services.

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