Cronos Exits US Hemp CBD Market, But Doesn't Give Up On Lord Jones Brand Just Yet
Portfolio Pulse from Nina Zdinjak
Cronos Group is exiting its US hemp-derived CBD operations by Q2 2023 to improve cash flow and position itself for the US THC market when regulatory conditions change. The company is increasing its 2023 operating expense savings target to $20-$25 million and plans to bring the Lord Jones brand to the Canadian market in Q4 2023.
June 01, 2023 | 2:19 pm
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POSITIVE IMPACT
Cronos Group's exit from the US hemp CBD market and focus on the future US THC market may improve cash flow and position the company for growth. The increased 2023 savings target and Lord Jones brand expansion to Canada could also benefit the company.
Cronos Group's decision to exit the US hemp CBD market and focus on the future US THC market is a strategic move that could improve the company's cash flow and position it for growth when regulatory conditions change. The increased 2023 operating expense savings target and the planned expansion of the Lord Jones brand to the Canadian market could also positively impact the company's financial performance and stock price in the short term.
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IMPORTANCE 80
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