CLS Holdings USA Inc (OTCMKTS:CLSH) posted a robust growth of 44.8% to $1.381 million in Q2 2020 for its wholly-owned subsidiaries located in Nevada.
After taking over in July 2018, Oasis Cannabis, a wholly-owned subsidiary of CLS, and City Trees, Wholesale manufacturing unit of CLS, has tripled its monthly revenues collectively to $1.381 million in July 2020 from $580,675 in July 2018.
Increase in daily transactions
Oasis reported an increase of 21.6% daily transactions in July compared to the previous month. The average dollar count per each transaction is surged by 10.6%. It is on the backdrop of adding curbside pickup services and expanded delivery services in March 2020. City Trees increased the availability of its products to report robust growth.
The cautious approach to growth
COO and President, Andrew Glashow, said the CLS subsidiaries based in Nevada adopted a cautious approach to growth by adhering to safety measures for employees and customers alike because of ongoing COVID-19 pandemic.
CLS will continue to follow the safety measures for its employees like social distancing, wearing PPEs, and sanitizing premises weekly thrice to sustain growth. Andrew said maintaining employees’ and clients’ safety is very important while making decisions for growth going forward.
CLS acquires cannabis cultivars, dispensaries, and manufacturers as part of its seed to sale acquisition strategy. The company started its operations in Nevada.
CLS, which engages in cannabis production and retail in Nevada, plans to expand its operations to other states. The company engages as Cannabis Life Sciences in recognition of using patented techniques for extracting cannabinoids from marijuana and manufacturing high-quality products using those extracts.
Files a lawsuit against IGH
CLS filed a lawsuit against Brockton, Massachusetts based IGH (In Good Health, Inc.) in March 2020 to refuse to sell its business as previously agreed and breach of the agreement. The company entered a pact with IGH in November 2018 to acquire all of its assets. Later, IGH refused to entertain in-person visits and withheld financial documents. IGH attempted to alter the terms and conditions of the deal.
CLS seeks a court order to IGS to comply with the agreement and provide monetary damages. The company intended to scale up its business in Nevada and benefit from other cannabis opportunities.
The market for cannabis in Nevada expects to reach $980 million in 2022. CLS owns patents in the US and Canada.