What happened
Shares of Cresco Labs (CRLBF 2.04%) jumped 12.3% on Monday after it announced the opening of a major new marijuana dispensary.
So what
The cannabis company said its massive new dispensary in South Beloit, Illinois, is now open for business, selling a wide range of recreational-use products. "At 7,208 square feet, this is one of the largest dispensaries in Illinois and across our entire portfolio," said Cresco Labs co-founder and CEO Charlie Bachtell in a press release.
Cresco Labs' stock rose sharply on Monday as investors cheered the opening of its new marijuana dispensary. Image source: Getty Images.
The company is also adapting its processes to better allow for social distancing during the ongoing coronavirus pandemic. Customers will be able to place orders on Cresco's e-commerce website and pick them up at its new dispensary the same day.
Now what
Cresco has a strong presence in Illinois, with eight dispensaries now and a ninth scheduled to open later this year. It also possesses the largest cannabis cultivation capacity in the state. In turn, Bachtell says his company is well-positioned to benefit from the market's rapid expansion.
"Illinois cannabis sales set a record in June reaching approximately $77 million, which translates to an almost billion-dollar annualized run rate," Bachtell said. "With our 6x increase in cultivation capacity and focus on going deep in the state, we continue to command an outsized share of this market."
