Gage Growth Corp. – The powerful new green stock making major waves in Michigan
GAGE GROWTH CORP CSE:GAGE
If you’re interested in the cannabis sector, you’ve probably heard of Cookies.
Originally founded by prolific rapper Berner, the company boasts more than 50 marijuana varieties and product lines and owns popular brands like Lemonnade, Runtz, and Minntz.
Today, it is taking the US market by storm.
From California, where it was first established and continues to be headquartered…
To states like Oregon, Colorado, Washington, and Nevada…
Cookies is commanding a large presence and some of the highest price points in every jurisdiction it has entered.
And now, thanks to a Michigan cannabis company called Gage Growth Corp. (CSE:GAGE), it can add Michigan to the growing list of states it is dominating.
You see, Gage is leading the green revolution in the Great Lakes State.
It’s providing exclusive access to powerful brands like Cookies, leveraging their reputations to elevate its own brand and sales. But it’s also employing a vertically-integrated model to establish itself as one of the jurisdiction’s highest-quality brands.
This powerful foundation has quickly seen Gage become one of Michigan’s premier operators. And that’s a powerful position to be in, given the state was one of America’s fastest-growing cannabis markets last year.
To learn more about the smart model helping Gage Growth Corp. to become the biggest name in Michigan cannabis, DOWNLOAD OUR EXCLUSIVE REPORT
But now, with cash in the bank, rapid near-term growth plans in place, and an industry-leading team behind the wheel….
Gage is primed not only to cement its position as Michigan’s largest cannabis company but also to begin expanding across the rest of the Midwest.
A laser-targeted focus on Michigan
Many new US cannabis companies attempt to establish a presence in a number of states at once. However, Gage has always taken the view that it is better to focus solely on one jurisdiction to begin with.
Indeed, by dedicating all of its money and time to Michigan, the firm stands the greatest chance possible of establishing a deeply entrenched reputation for quality and taking market share.
As mentioned, the firm has already set about establishing exclusive licensing agreements with renowned brands like Cookies. It means consumers in Michigan who have heard of the products these partners offer and want to buy them can only do so through Gage.
That alone is a powerful moat, but consider also that the company has established a vertically-integrated model for its own branded products. It puts Gage in total control of its supply chain – from cultivation to sale – meaning it can ensure its product is of the highest quality and commands the widest margins possible.
And then there’s the company’s team.
Aside from multi-disciplinary experts like CEO Fabian Monaco, President (USA) Mike Finos, and CFO David Watza, who are driving Gage forward…
The business has taken on the co-founder and former CEO of Canopy Growth – one of the world’s biggest cannabis companies – Bruce Linton as its chairman.
Not only that, Gage has strong institutional support from Jason Wild, a widely recognized premier investor in the cannabis sector. Jason Wild and his US$2 billion fund, JW Asset Management, was notably an early investor in some of the largest cannabis companies, including Canopy Growth Corp. and TerrAscend Corp. JW Asset Management has averaged 27% annualized returns for over 20 years.
All-in-all,this Gage’s expertise, brand quality, and licensing agreements have enabled it to establish a remarkably strong position in Michigan in a very short period of time.
Indeed, from having just one operational asset in mid-2019…
The company now operates three cultivation facilities alongside a range of contract grow operations.
It runs seven dispensaries operating at an industry-leading average run-rate.
And it is commanding one of the highest average basket sizes in the industry. The company’s average basket size in 2020 was US$164 – nearly double the Michigan average.
The best thing, though, is that the only way is up from here…
Funded for transformational growth
GAGE GROWTH CORP CSE:GAGE
Back in January, Gage Growth Corp. added an impressive US$50 million to its coffers in an oversubscribed Regulation A, Tier 2, equity financing.
It was a game-changing moment for the business for two reasons.
First, the raise was driven by Jason Wild – the cannabis visionary and TerrAscend’s executive chairman who has made life-changing returns for investors by driving the development of some of the sector’s biggest names.
Second, the funds raised give Gage more than enough financial firepower to cement its position as Michigan’s leading cannabis operator by the end of the year.
How?
Well, the company plans to multiply its cultivation capacity from 1,500 pounds a month in March 2021 to 3,000 pounds a month by June 2021 before hitting 5,000 pounds a month by December 2021.
It expects to open new dispensaries at an average rate of one a month to reach a total of 20+ active dispensaries by the end of the year.
And finally, Gage will also open its own processing lab in the second quarter of 2021.
It all adds together to create an extremely bright short-term outlook for the business that sets the stage for its wider expansion across the US over the coming years.
And what’s more, Gage couldn’t have timed its growth more perfectly if it tried…
You see, Michigan’s cannabis market is on fire.
READ OUR SPECIAL REPORT for a deep dive into the unique and ingenious model that attracted Jason Wild chose to back Gage Growth Corp.
Recreational marijuana may have only been fully legalized for adult use in the state back in 2018…
But the market has already grown exceptionally quickly to become one of the largest in the US.
Recreational sales soared a massive 585% from January 2020 to January 2021 and, when taken with medical use, the total cannabis market in the state was valued at almost $1 billion in 2020.
That is a staggering 3.5x jump on 2019, and things show no sign of letting up.
Indeed, a report out of Michigan State University estimates that the state’s cannabis market could be worth a staggering $3 billion by the time it matures.
At the same time, in spite of this growth, Michigan is much less extensively covered by large US multi-state cannabis operators than many of the limited license states because it is so competitive.
It all makes it the perfect place for Gage to establish a leading position.
Especially when you consider that many expect cannabis use in the US to swell even further over the coming years. Indeed, the prevailing view is that the Biden administration will remove cannabis from Schedule 1 of the Controlled Substances Act before the mid-term elections.
Should this occur, then the implications for Gage’s bottom line could be enormous.
Move in before the mainstream
All told, Gage is yet to enter the radar of the mainstream, so smart investors still have an opportunity to get in on the ground floor.
But with such a strong position in one of America’s fastest-growing cannabis market…
With funds in place to achieve transformational growth by the end of this year ahead of US-wide expansion…
And with interest in US cannabis stocks booming in anticipation of nationwide decriminalization…
It could only be a matter of time before Gage seriously catches the attention of the market and sees its share price soar.
When this happens, those who spotted this opportunity before anyone else and were quick to act will be the biggest winners.
IMPORTANT NOTICE AND DISCLAIMER
PAID ADVERTISEMENT
This communication is a paid advertisement. ValueTheMarkets is a trading name of Digitonic Ltd, and its owners, directors, officers, employees, affiliates, agents and assigns (collectively the “Publisher”) is often paid by one or more of the profiled companies or a third party to disseminate these types of communications. In this case, the Publisher has been compensated by Gage Growth Corp to conduct investor awareness advertising and marketing and has paid the Publisher the equivalent of five hundred thousand US dollars to produce and disseminate this and other similar articles and certain related banner advertisements. This compensation should be viewed as a major conflict with the Publisher’s ability to provide unbiased information or opinion.
CHANGES IN SHARE TRADING AND PRICE
Readers should beware that third parties, profiled companies, and/or their affiliates may liquidate shares of the profiled companies at any time, including at or near the time you receive this communication, which has the potential to adversely affect share prices. Frequently companies profiled in our articles experience a large increase in share trading volume and share price during the course of investor awareness marketing, which often ends as soon as the investor awareness marketing ceases. The investor awareness marketing may be as brief as one day, after which a large decrease in share trading volume and share price may likely occur.
NO OFFER TO SELL OR BUY SECURITIES
This communication is not, and should not be construed to be, an offer to sell or a solicitation of an offer to buy any security.
INFORMATION
Neither this communication nor the Publisher purport to provide a complete analysis of any company or its financial position.
This communication is based on information generally available to the public and on an interview conducted with the company’s CEO, and does not contain any material, non public information. The information on which it is based is believed to be reliable. Nevertheless, the Publisher does not guarantee the accuracy or completeness of the information. Further, the information in this communication is not updated after publication and may become inaccurate or outdated. No reliance should be placed on the price or statistics information and no responsibility or liability is accepted for any error or inaccuracy. Any statements made should not be taken as an endorsement of analyst views.
NO FINANCIAL ADVICE
The Publisher is not, and does not purport to be, a broker-dealer or registered investment adviser or a financial adviser. The Publisher has no access to non-public information about publicly traded companies. The information provided is general and impersonal, and is not tailored to any particular individual’s financial situation or investment objective(s) and this communication is not, and should not be construed to be, personalized investment advice directed to or appropriate for any particular investor or a personal recommendation to deal or invest in any particular company or product. Any investment should be made only after consulting a professional investment advisor and only after reviewing the financial statements and other pertinent corporate information about the company. Further, readers are advised to read and carefully consider the Risk Factors identified and discussed in the advertised company’s SEC, SEDAR and/or other government filings. Investing in securities, particularly microcap securities, is speculative and carries a high degree of risk. Past performance does not guarantee future results.
FORWARD LOOKING STATEMENTS
This communication contains forward-looking statements, including statements regarding expected continual growth of the featured companies and/or industry. Statements in this communication that look forward in time, which include everything other than historical information, are based on assumptions and estimates by our content providers and involve risks and uncertainties that may affect the profiled company’s actual results of operations. These statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results and performance to differ materially from any future results or performance expressed or implied in the forward-looking statements. These risks, uncertainties and other factors include, among others: the success of the profiled company’s operations; the size and growth of the market for the company’s products and services; the company’s ability to fund its capital requirements in the near term and long term; pricing pressures; changes in business strategy, practices or customer relationships; general worldwide economic and business conditions; currency exchange and interest rate fluctuations; government, statutory, regulatory or administrative initiatives affecting the company’s business.
INDEMNIFICATION/RELEASE OF LIABILITY
By reading this communication, you acknowledge that you have read and understand this disclaimer in full, and agree and accept that the Publisher provides no warranty in respect of the communication or the profiled company and accepts no liability whatsoever. You acknowledge and accept this disclaimer and that, to the greatest extent permitted under applicable law, you release and hold harmless the Publisher from any and all liability, damages, injury and adverse consequences arising from your use of this communication. You further agree that you are solely responsible for any financial outcome related to or arising from your investment decisions.
TERMS OF USE AND DISCLAIMER
By reading this communication you agree that you have reviewed and fully agree to the Terms of Use found here https://www.valuethemarkets.com/terms-conditions/ and acknowledge that you have reviewed the Disclaimer found here https://www.valuethemarkets.com/disclaimer/. If you do not agree to the Terms of Use, please contact valuethemarkets.com to discontinue receiving future communications.
INTELLECTUAL PROPERTY
All trademarks used in this communication are the property of their respective trademark holders. Other than valuethemarkets.com, the Publisher is not affiliated, connected, or associated with, and the communication is not sponsored, approved, or originated by, the trademark holders unless otherwise stated. No claim is made by the Publisher to any rights in any third-party trademarks other than valuethemarkets.com.
AUTHORS: VALUETHEMARKETS
valuethemarkets.com and Digitonic Ltd and our affiliates are not responsible for the content or accuracy of this article. The information included in this article is based solely on information provided by the company or companies mentioned above. This article does not provide any financial advice and is not a recommendation to deal in any securities or product. News and research are not recommendations to deal, and investments may fall in value so that you could lose some or all of your investment. Past performance is not an indicator of future performance.
ValueTheMarkets do not hold any position in the stock(s) and/or financial instrument(s) mentioned in the above piece. ValueTheMarkets have been paid to produce this piece by the company or companies mentioned above. Digitonic Ltd, the owner of valuethemarkets.com, has been paid for the production of this piece by the company or companies mentioned above.
