Alliance Growers Acquires More US Cannabis Assets

Alliance Growers Acquires More US Cannabis Assets

Last year, Alliance Growers (OTCMKTS:ALGWF) launched a growth strategy dubbed the “Four Pillars.” In particular, the strategy charts the growth path the company seeks to follow to fully exploit the growing cannabis market. In a recent news release, the company indicated that the execution of the strategy is in motion as it has acquired more cannabis assets in the US.

An entry point into the California market

Notably, the statement revealed the assets as licenses for growing, manufacturing and selling of cannabis. Based in California, the assets offer a firm foundation on which Alliance Growers will build its presence in the state with the largest cannabis market. Further, California is one of only two states which have comprehensive regulations that guide the use of both medical and recreational cannabis. According to the statement, the company will initially focus on craft cultivators and distribution of their product.

In light of the developments, the Alliance Growers’ CEO and President, Dennis Petke, said the company will jump at every opportunity to exploit the US cannabis market. For starters, Canada legalized both recreational and medical use of cannabis last year. As such, many companies formed to meet the supply gap that emerged after the legalization.  However, investors would like to see their investments grow by companies expanding into new regions. This is exactly what Alliance Growers is doing, and this is part of the Four Pillars strategy.

Four Pillars strategy aim

Another one of the pillars is the development of cannabis biotech complexes to meet the demand for cannabis products. Toward the pillar, the company entered a pact with WFS Pharmagreen early this year where the two will operate the first Cannabis Biotech Complex jointly. The other pillar has to do with acquisition of assets like the one discussed above. Pillar three comprises a series of R&D projects where already, the firm is developing proprietary CBD strain called CBD DANA. Fourth, the company is focusing on the extraction and processing of CBD oil to exploit the booming demand.