OTCQB:EMHTF - Post by User
Comment by
BUYING4MEon Jul 12, 2018 7:42am
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Post# 28304516
RE:RE:MOU and EMH
RE:RE:MOU and EMHThe Globe and Mail article you speak of said Ontario wants $7.50/g (tax included) at retail. Tax is 10%, LCBO works on 48.3% margins.
Ontario margins will be as bad as BC if not worse. The markets will dictate pricing, not weed companies, and since provinces have monopoly distribution deals I'm not sure where higher margins are coming outside of direct sales. Direct Sales are going to be a bloodbath with the number of companies who still haven't reached ANY supply deals, and for those still in licensing stages who will need to generate revenue as well.
JMark80 wrote: Where are there better margins? Ontario is the only major province left to annouce supply agreements, and apparently OSC is demanding LPs lower their prices as well (according to Globe and Mail).