Half a dozen companies were permitted to grow medical cannabis in Florida, but as of last Thursday, only one was allowed to dispense it. Could this be the golden opportunity Florida cannabis investors have been waiting for, or will further legal entanglements hamstring the southern state? CNBC reported on the matter earlier this week and called on Poseidon Asset Management for comment.
Hackney Nursery, doing business as Trulieve, is the chosen business to be allowed to dispense medical marijuana today from its storefront in Tallahassee. Under the state's Compassionate Medical Cannabis Act of 2014, only specific groups of patients are allowed to have access to the plant - those suffering specifically from epilepsy, seizure disorders or certain cancers. Lawmakers expanded that list to include terminally ill patients recently, and another amendment is on the ballot for November to expand the user base further. The marijuana approved for sale is a low-THC strain that doesn't produce intoxication.
With Florida's aging population, some cannabis insiders see it as a market with an estimated $1.5 billion dollar value over the next 4 years. Others see Florida's conservative regulations as too restrictive to allow for major growth. Poseidon founder and Managing Director, Morgan Paxhia, is in the latter camp.
"From an investor perspective, this is very early and there's still a lot of risk," Morgan is quoted as saying in the article. "There is certainly potential long term, but in this existing program, it's very risky."
For more information and background on the Florida regulations, read the original article on CNBC.