Multi-state cannabis operator MariMed said it will exit the cannabis market in Missouri.
The company had been operating in the state since 2024 as part of a managed services and licensing agreement with another licensed cannabis operator in the state. That agreement entails the manufacture and distribution of certain MariMed brands while waiting for the state to transfer the cannabis license to MariMed.
But now the company said it will no longer wait for the license transfer and it will exit the market.
MariMed said the decision won't affect its current operations in six other states including 13 dispensaries and six cultivation and processing facilities in Delaware, Illinois, Maryland, Massachusetts, Ohio, and Pennsylvania. And the company emphasized that leaving Missouri is expected to improve the its overall financial performance, particularly gross margin and adjusted EBITDA.
“Our brands performed well in the select stores where they were available in Missouri, but we concluded that reaching scale would have required significant resources we believe are better utilized in our core markets, where MariMed has established strong retail and wholesale positions,” said MariMed CEO Jon Levine in a statement. “Moving forward, we will consider licensing opportunities in Missouri with a vertical operator if it makes financial sense and supports our goal of becoming a cannabis CPG powerhouse.”
