Is There Enough Legal Cannabis Being Grown in California?
An interview with Glass House Group’s Graham Farrar
One of the best things about writing a public newsletter is that you get both positive and negative feedback.
I’m bullish on Glass House Group which is merging with the Special Purpose Acquisition Corp (SPAC), Mercer Park Brand (Canada: BRND, OTC: MRCQF). I wrote about the opportunity in my last post: The Most Valuable Greenhouse in America, and the feedback has been very valuable, especially the bearish comments. Thank you to everyone who contacted me and shared their views, critiques and questions.
I interviewed Graham Farrar, Glass House’s President and co-founder, with an emphasis on some hard questions that I gathered from the negative critiques and comments to my post. I came away from our conversation more bullish than ever (as always please draw your own conclusions and do your own due diligence).
The pricing for Glass House Group’s cannabis flower was up in 2020 and it is up again in 2021. Depending on how bullish you are on cannabis demand, is it possible that there is not enough legal, premium cannabis being grown in California in the long run? What if Glass House’s massive new greenhouse of 5.5 million square feet is not enough to even supply California in the long term?
Frankly, I had not even considered this super bull case before this conversation. And it is fascinating because only by asking the bear questions and critically looking at things did this insight even arise.
I hope you enjoy my interview with Graham Farrar as much as I did.
If instead you would like to read the transcript here it is: