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HOW IS MSO HARVEST DOING? OBSERVERS DIFFER

MJBiz takes a look at all the headlines Arizona-based MSO Harvest Health & Recreation has been racking up in recent months.

They include:

  • In a deal touted as worth $80M, this spring Harvest offloaded several dispensaries it acquired from Seattle-based Interurban Capital Group to High Times  Holding Corp. which is going into the retail business. Harvest also revealed it is involved in litigation with Interurban, which owns the Have A Heart dispensary chain, related to the deal.
    New York Post
  • Two former employees in Arizona are suing Harvest after they claimed it engaged in multiple violations of state MED laws. Harvest disputes the claims and says it will defend itself in court.
    Phoenix New Times, MJBiz
  • The company has also had licensing issues in Pennsylvania and Ohio.
    Philly Inquirer, Cincinnati Enquirer

Harvest owns or controls 35 retail storefronts and 11 cultivation or manufacturing facilities in eight states. CEO Steve White said the company will be prioritizing profitability this year.

Analysts disagree over whether Harvest is struggling or simply emblematic of the industry’s broader problems.

  • “A lot of businesses, you might have just the ear or the trunk or the tail. Here, Harvest Health has the whole elephant of problems,” California attorney Joe Rogoway said.
  • “I think they’re struggling to keep up or stay in the same league as the darlings of the industry,” GreenWave Advisors founder Matt Karnes said. Companies he considers “darlings” include MSOs Green Thumb Industries, Cresco Labs and Curaleaf.