Notable Players

A Deeper Look At This State

Regulatory Framework

Nevada has yet to determine if they will open more application periods to award licenses. It seems unlikely they'll open licensure up substantially, giving the incumbent players time to build relationships with their consumers and build infrastructure.

Notable Market Activity

January 2020 | Curaleaf acquires Acres Cannabis

June 2019 | GTI acquires Integral Associates

What's the Play?

Sin City has navigated highly regulated human vice markets for most of its existence, providing the foundation for a robust adult-use market both broad and profitable. In fact, Nevada was experiencing attractive growth until COVID rocked the tourism industry on which the Silver State is so heavily dependent. Operators will continue to experience stunted demand until mid-2021 when a vaccine is widely distributed, and the gamblers and other degenerates return en masse.

Multiple public MSOs have operations in the Las Vegas market already, but investors should be wary of backing Nevada operators unless a Las Vegas foothold is integral to a broader multi-state strategy. With fewer than 70 retail stores open for roughly $60MM in monthly revenue (pre-COVID), the Las Vegas market is primed and ready for acquisition.

Tanking cannabis sales and more costly operations due to a delivery-only model during COVID may be forcing small operators to look for an exit. That said, well-capitalized MSOs are focused on much larger, limited license market opportunities, which may slow buying activity in this relatively small but culturally-relevant market.

Market Snapshot

This Data Point

58,380

This Data Point

58,380

This Data Point

58,380

This Data Point

58,380

This Data Point

58,380

This Data Point

58,380

This Data Point

58,380

This Data Point

594/273

By The Numbers

Population

~3.1MM

Medicinal Legalization

2000

Adult-Use Legalization

2017

MMJ Patients

~28K

Monthly Revenue

~$77MM

Cultivation Cap

No Limit

Cultivation Licenses

158/No Limit (Issued/Limit)

Retail Licenses

79/132 (Issued/Limit)

Retail License Cap per Operator

No Limit

Vertical Integration

Allowed

Delivery

Allowed

MMJ Qualifications

Less Restrictive

State Population / # Retail Licenses

~47K

MMJ Patients / # Retail Licenses

Top Cultivators

Notable Market Activity

Quick sentance is needed or wanted

Quick sentance is needed or wanted

Quick sentance is needed or wanted

Proprietary Sharp Capital Advisors data - compiled using various sources including state and local government data
Shit We Don't Know

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