RE:RE:RE:QuestionIt will likely follow a similar model to the three tier system currently used by alcohol.
Wikipedia- Three Tier System I think you are concering yourself too much with the aspect of distribution. That is one facet of Origin House. By acting as the distributor they also collect taxes on behalf of the state. Under a federal framework it will still likely fall back to the states in how to get it to the consumer and collect taxes.
It just so happens one of the major backers of Origin House was previously affiliated with the top spirit company, Southern Spirits. Dig deep enough and you will find that he and his buddies, who exert tremendous power, helped sway lawmakers in the state to adopt the distribution model similar to alcohol.
The arguement is if this way proves successful in the largest market and state in the whole union, then why not apply it to every state. Being the distro puts you right on the front lines between what is selling and what isn't.
Once Origin House has built a foundation of brands that are proven in the marketplace then it is a small move to license those brands across the states to major producers. No need to ship from coast to coast when you can send your IP for labels and packaging with a click of a mouse and collect massive license fees.
If your frame of reference is only the Canadian market right now then you do not realize what a massive difference exists between the two countries, especially in California USA. I suggest you watch this video.
The fact is cannabis is a new luxury lifestyle product in the US. The marketing forces behind both THC and CBD products is like nothing that Canada will even approach. Brands that succeed in California are bound for success in any other market that opens itself beyond generic government branding regulations.
That is where the value of the 180 Smoke acquisiton becomes apparent. Origin House know that in Canada branding will eventually matter but the big land grab no one else is after yet is retail sales points. With provinces still maintaing control of the distribution its how you get the product into customers hands that matters. Like California is the biggest for the US so is Ontario to Canada. Limits on licensed producers retail footprint will give Origina House the upper hand in selling to the largest customer base in Canada.
This is currently a blue sky break out. I suspect the new volume of buyers are not likely to sell anytime soon and this could very well continue to run hard with small consolidation through the end of the month.
56 million shares, 23 mil for issuance. I saying that fewer than 15 million shares are available free trading. Undiluted just over half a billion market cap. Still no where near fully valued with respect to what is on the horizon.