Cannabis Strategic Ventures Inc. (NUGS) Survives, Thrives Following Diversification Strategy

The TechMediaWire Podcast

Even as the cannabis market continues expanding, pricing for wholesale cannabis has been under protracted pressure from oversupply and price cuts. Make no mistake — the cannabis market is still robust with large upside, and survivors of this supply side shake-out should secure ever-greater market share. The pressures may be most prevalent in California, the world’s biggest cannabis market, as light-deprivation crops reach market in 2021 and the potential for Type 5 cultivation licenses allowing for massive outdoor-growing facilities could be issued in California by 2023. To survive and thrive, companies will need to be nimble, diversify assets across the value chain and generate revenues from multiple venues. That’s preaching to the choir for Los-Angeles-based Cannabis Strategic Ventures Inc. (OTC: NUGS) (Profile). One of California’s publicly traded cannabis cultivators, NUGS has been actively diversifying into integrated operations complete with high-profile retail locations and new indoor grow facilities. NUGS views the shake-out as opportunity and fully expects to capture increased market share as the company continues to diversify. Throughout the last decade, as the “green rush” has swept across the globe, the wheat has been separated from the chaff, leaving strong companies — such as Canopy Growth (NASDAQ: CGC), Curaleaf Holdings (OTCQX: CURLF), Green Thumb Industries (OTCQX: GTBIF) and Trulieve Cannabis (OTCQX: TCNNF) — still standing as they take necessary steps to secure market share going forward.