“With this much competition, vertical integration is key,” said Ingo Ausland, vice president of operations for NoBo Michigan. That’s the same strategy being employed by NoBo, which operates a grow and processing plant in Benton Harbor as well as retail outlets in Benton Harbor, Edwardsburg, Muskegon and Battle Creek. That’s one way to deal with the competitive environment.īut Lynch believes vertical integration also will be key to surviving the highly competitive environment, so the family-run business plans to open its own grow and processing facility in Niles in the next several weeks. Lynch said Green Stem routinely gets calls from business brokers who are looking for opportunities to buy, sell or form strategic partnerships. And such deals are likely to become common as businesses look ahead at the competitive environment. That might have been what prompted Common Citizen, which operates a 70-acre greenhouse in Marshall, Mich., to recently enter into a partnership with Cannavista in Buchanan. That’s a lot of volume for the market to absorb and could result in near-term mergers and acquisitions within the state’s cannabis industry as those who are solely focused on growing and processing look for guaranteed shelf space inside dispensaries.
Packaged cannabis sits in a supply room at Green Stem Provisioning on Thursday, March 10, 2022, in Niles.
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