A new cannabis delivery service is coming to the Oregon market. Stem Holdings (CSE: STEM) this morning announced that it is expanding to the additional market with its e-commerce marketplace platform, marking the first state expansion for the company.
The advancement into Oregon, which is to begin in the Greater Metro Portland region before expanding to other areas of the state, will mark the first out of state expansion for Budee, the firms delivery-as-a-service marketplace platform. The operation is to be centered around the firms TJ’s on Powell dispensary in the region initially, offering same day and next day delivery services for cannabis product orders.
The company currently expects to roll out its delivery service to the entire state of Oregon over the course of the next year, with Eugene to be the first expansion market. Services in that region are expected to commence in October.
The out-of-state expansion is one of several evidently planned for this year. As previously announced, the company plans to offer its DAAS platform in the state of Michigan later this year, while additional markets are reportedly planned as well, however details were slim.
“The explosive growth of e-commerce during the COVID-19 pandemic has had a lasting impact on customer demand for delivery services, and the cannabis industry is no exception, with the delivery sub-market expected to be the highest and fastest growing stream in the market1. Including Budee in our operating model allows for deep integration of our unique e-commerce and logistics capabilities, which has significantly enhanced our sales through deliveries in California, further signifying an opportunity for similar growth in new markets.”
Adam Berk, CEO
Stem Holdings last traded at $0.37 on the CSE.
FULL DISCLOSURE: Driven By Stem is a client of Canacom Group, the parent company of The Deep Dive. The company has been compensated to cover Driven By Stem on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.
