C21 Investments (@C21Investments) / Twitter Fundamentals Explained
Not known Incorrect Statements About C21 Investments looks to shore up struggling Oregon
That was how C21 was developed, and after that signed contracts with the Oregon and Nevada properties.: I just recently saw a news release about broadening the Nevada cultivation. Can This Is Cool offer me some more details?: We revealed that we are tripling our capacity within our existing 100,000 square foot storage facility centers.
That's the tripling. Expanding our cultivation was plainly the next logical step in our growth story. This must yield us an additional 7,500 pounds of high-quality flower. We can do this very cost efficiently with about $6M in capex, and we expect moneying the task internally. We will still leave another 40,000 square feet of growth capability as market needs justify.
Just to play with some numbers, 7,500 pounds of flower has a wholesale market price today of about $17M. It will cost us roughly $2M in incremental operating expense to add these extra grow rooms. We currently pay the rent, so we just require to spend for the people, power, fertilizer and item screening.
Historically, we always used to grow more than we needed, however with the boost in need that's going on in the market, we now perform at a flower deficit. In the near term, this build-out will enable is to meet our existing retail needs, with the balance that we will sell on the wholesale market.
The Main Principles Of C21 Investments Company Profile - PitchBook
: It seems like the decision was made based upon both revenue growth and supply chain combination?: Yes, and simply the pure profitability of it! You can't get a bigger, better value from spending $6M to produce $17M with ongoing operating expenses of $2M.: The next concern here is about the current note restructuring and, and how the debentures was restructured.
For C21, the very first thing we concentrated on was getting our house in order to make sure that we were effective and lucrative. We understood we required to have a scalable maker to grow. The 2nd action, which the debt restructuring associates with, was around fortifying our balance sheet. To support our development strategies, we required to have a solid foundation.
Public Last updated: 2021-12-19 08:34:20 PM
