TROY – Cloud Cannabis Co. has acquired a cultivation facility in Kalamazoo, formerly operated by KKind, a Michigan-based cultivator. The location features 70,000 square feet of cultivation space, complete with power, lighting and watering systems.

“This acquisition provides Cloud with full control over our supply chain, allowing us to provide our customers with the highest quality products and retail experiences, while also optimizing the overall profitability of our operations,” said Cloud Cannabis CFO Tyson Macdonald. “With all the pieces in place to distribute best-of-breed products across the entire Michigan marketplace, we are well positioned to work with the highest quality brands looking to enter the Michigan market.”

Cloud’s acquisition of the cultivation facility serves as the lynchpin for a new cultivation partnership with Wonderbrett, a California cannabis brand. Going beyond the traditional licensing deal, Wonderbrett will provide genetics, in addition to applying their best practices to Cloud’s new cultivation facility.

“Cloud Cannabis Co. is the perfect partner for us in Michigan due to their expanding retail footprint, extraction and distribution across the state,” said Wonderbrett Co-Founder and famed Breeder Brett Feldman. “This partnership will bring our expertise for the development of craft, small-batch and artisanal products in California to a full-scale market in one of the nation’s fastest growing states for recreational cannabis.”

Based on July’s sales of $171 million, Michigan represents an annualized market size of approximately $2.1 billion. Historically the state’s supply of flower has been stifled due to a lack of supply. However, in July 2021, the Michigan Marijuana Regulatory Agency reported flower sales exceeded $84 million, evidence that the state’s cultivation license program has loosened its restrictions in order to support demand. Wonderbrett is a leading provider of premium flower, one of the top five indoor flower brands in the California market.

Cloud Cannabis Co. opened its first location in Muskegon in June 2020, followed by locations in Ann Arbor, Traverse City and Utica. The company is building deep roots in Michigan with 15 stores planned to open in the next 12 months. Currently, Cloud has over 200 employees covering extraction, manufacturing, distribution and retail.

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