MedMen Enterprises Inc - MMNFF stock
OTC Market: MMNFF | Related ticker symbols: CSX: MMEN • Industry: Cannabis
MedMen (OTC: MMNFF, CSX: MMEN) is a cannabis retailer that operates in the United States. The company was founded in 2010 and is headquartered in Los Angeles, California. MedMen operates licensed dispensaries in several states, including California, Nevada, Illinois, Florida, and New York.
MedMen's business model involves the cultivation, production, and sale of cannabis products for both medical and recreational use. The company sells a wide range of cannabis products, including flower, edibles, concentrates, and accessories. In addition to its retail operations, MedMen also operates a delivery service for its products.
One of MedMen's key strategies has been to create a recognizable brand for its products and stores. The company has invested heavily in marketing and branding, and has opened high-end retail locations with sleek and modern designs. MedMen's stores are designed to appeal to both new and experienced cannabis users, with knowledgeable staff available to help customers choose the right products for their needs.
MedMen has faced some challenges in recent years, including financial difficulties and leadership changes. In early 2021, the company announced a restructuring plan that included selling off some of its assets and restructuring its debt. Despite these challenges, MedMen remains a major player in the US cannabis industry and has demonstrated a commitment to expanding its operations and product offerings.
MedMen is continuing its restructuring efforts and has announced a strategic review of its assets in Arizona and Illinois. The company has already taken steps to reduce its expenses, including closing non-core stores, reducing its workforce, and renegotiating its leases. In addition to these efforts, MedMen is also exploring strategic options for its Arizona and Illinois assets, including a potential sale or partnership. The company is looking to focus on its core markets in California, Nevada, and Florida, where it sees the greatest potential for growth. MedMen has already seen some positive results from its restructuring efforts, with improved gross margins and a reduction in SG&A expenses. The company is also continuing to pursue new opportunities, such as a recent partnership with BEYOND / HELLO in Pennsylvania.
The sale of its Florida assets to Florida medical cannabis company, JaxCare was completed in August 2022. The sale included two retail locations in Florida and a cultivation facility in Hilliard. MedMen's decision to sell its Florida assets is part of the company's ongoing efforts to streamline its operations and focus on its core markets in California, Nevada, and Arizona. The sale is also part of MedMen's broader restructuring efforts, which have included closing non-core stores, reducing its workforce, and renegotiating its leases. The sale of its Florida assets is expected to generate proceeds of $6 million, which MedMen plans to use to pay down debt and improve its financial position. The company has been working to improve its financial performance after reporting significant losses in recent quarters.
MedMen has prevailed in a lawsuit against Arizona-based Whitestar Solutions. Whitestar Solutions had filed a lawsuit against MedMen alleging breach of contract and seeking $30 million in damages. The lawsuit stemmed from a 2019 agreement between the two companies, under which MedMen agreed to purchase certain assets from Whitestar Solutions. However, the deal fell apart, and Whitestar Solutions accused MedMen of failing to pay for the assets and breaching the contract. In response, MedMen filed a countersuit against Whitestar Solutions, alleging that the company had engaged in fraudulent misrepresentation and seeking damages of its own. After a trial, the court ruled in favor of MedMen, finding that Whitestar Solutions had breached the contract and that MedMen was entitled to damages. The ruling is a positive development for MedMen, as it removes a significant legal liability and could potentially improve the company's financial position. MedMen has been working to improve its financial performance and position itself for long-term success in the cannabis industry, and the resolution of this lawsuit could be a step in that direction.
For the year ending 6/25/2022, MedMen had revenue of $140,811,000 and net income of ($195,186,000). Cash flow was ($62,529,000).
For the year ending 6/25/2021, MedMen had revenue of $132,247,000 and net income of ($90,877,000). Cash flow was ($(59,420,000).
- ↑ Yahoo Finance. MMNFF Stock Profile. Read on 4/16/2023.
- ↑ 2.0 2.1 2.2 MedMen.com. Who We Are. Read on 4/16/2023.
- ↑ Businesswire. MedMen Continues Restructuring Efforts, Highlights Results To-Date, and Announces Strategic Review of Assets in Arizona, Illinois, and Nevada as Next Steps. February 17, 2023.
- ↑ Los Angeles Business Journal. MedMen Completes Sale of Florida Assets. August 29, 2022.
- ↑ OTC Markets. MedMen Prevails in Lawsuit Against Arizona-Based Whitestar Solutions. May 23, 2022.
- ↑ 6.0 6.1 OTC Markets. MMNFF Stock Financials. Read on 4/16/2023.