💸 The Tape

In a plot twist that has both hemp advocates breathing a sigh of relief and Lt. Gov. Dan Patrick fuming into his bolo tie, Texas Gov. Greg Abbott (R) has vetoed a controversial bill that would have all but nuked the state’s hemp market. But don’t pop the delta-8 gummies just yet—Abbott isn’t looking to keep the Wild West vibe going. Instead, he wants cannabinoids regulated “similar to the way alcohol is regulated.”

In his veto message on Sunday, Abbott acknowledged that both sides of the Senate Bill 3 (SB 3) debate raised valid concerns. But the governor cited constitutional landmines that could lead to lengthy court battles, delaying any real enforcement and leaving current abuses unchecked.

“If I were to allow Senate Bill 3 to become law,” Abbott wrote, “its enforcement would be enjoined for years… Texas cannot afford to wait.”

Enter Abbott’s Plan B: a sweeping regulatory framework for hemp products that looks suspiciously like what’s used for booze. His wish list reads like a cross between a Department of Health memo and the Texas Alcoholic Beverage Commission handbook. Among the key proposals:

• Age restrictions and criminal penalties for selling THC products to minors

• Zoning limits to keep sales away from schools, parks, and churches

• Permit requirements for retailers, along with childproof packaging and QR-coded lab test results

• Label mandates, ingredient disclosures, and even a “Surgeon General-style” warning

• Time-of-day restrictions (10 a.m.–9 p.m., closed Sundays, naturally)

• Excise taxes and enforcement funding, with oversight by agencies like TABC

“This list, of course, is not exhaustive,” Abbott noted, in case lawmakers were looking for extra homework. But the overarching theme was clear: no more half-baked policy—it's time for a ‘strict, fair, and legally sustainable’ system.

To that end, Abbott is convening a special legislative session on July 21, where SB 3 and other vetoed bills will be back on the docket. Lawmakers now have a second chance to regulate, not eradicate, a hemp industry that supports an estimated 53,000 jobs and 8,000 retailers across the state.

Veterans groups, farmers, and small business owners had rallied against SB 3, delivering over 100,000 petition signatures urging the governor to block it. Even GOP voters, according to multiple polls, opposed the ban.

All of this came just one day after Abbott signed a separate bill expanding the state’s medical marijuana program, adding chronic pain, Crohn’s disease, TBI, and more qualifying conditions—along with new product formats and dispensary licenses.

So, what does it all mean? The tide may finally be turning in Texas. With both medical marijuana expansion and a serious hemp framework on the table, Abbott’s pivot suggests a regulated cannabis future might not be so far-fetched in the Lone Star State. Yeehaw, but make it compliant.

📈 Dog Walkers.

$CXXIF ( ▲ 0.81% ) Delivers

What’s Going On Here: C21 Investments Inc. reported audited financial results for its fiscal year ending March 31, 2025, following a shift to a March 31 year-end. The company generated $30.1M in annual revenue, up 6.5% year-over-year, with $8.1M in Q4 revenue, a 3% increase over Q3 despite a 6.5% decline in Nevada cannabis sales. Adjusted EBITDA rose to $4.9M annually, and Q4 EBITDA hit $1.7M, up 8% sequentially. Gross margin improved to 42% for the year and 45% in Q4.

Net loss was $4.0M for the year and $1.6M in Q4, driven primarily by $4.2M in income taxes and one-time costs associated with opening its South Reno dispensary. Customer transactions surged 38% YoY, highlighting strong demand. The company also repurchased 2.05M shares and continues to generate positive free cash flow, reporting $4.0M for the year. C21 is refiling past tax returns, disputing 280E liability, and remains focused on driving shareholder value through disciplined growth.

Full PR

Jushi Taps The Housewives

What’s Going On Here: Jushi Holdings Inc. (CSE: JUSH | OTCQX: JUSHF) has teamed up with entrepreneur and Real Housewives of Potomac star Stacey Rusch to launch Shayo, a cannabis-infused wellness brand debuting in Virginia’s medical market. Named after the Nigerian word for “to be happy,” Shayo offers a premium line of rosin-infused fruit chews blending purposeful cannabinoid profiles with vibrant, natural flavors.

Two signature SKUs lead the launch:

• Rise (Blood Orange Pomegranate) with a 1:2 THC:CBG ratio for energized clarity

• Rest (Berry Vanilla) with a 1:2 THC:CBN ratio for relaxation and sleep support

Both are vegan, gluten-free, non-GMO, and made with natural fruit purées. The products are currently available at all Beyond Hello locations in Virginia, with broader distribution coming soon.

CEO Jim Cacioppo noted early consumer response has exceeded expectations, underscoring Jushi’s strategy of pairing premium product innovation with cultural resonance.

🗞️ The News

📺 YouTube

Cannabis Clarity in Texas: TCUP Grows, Hemp Ban Blocked | Trade to Black

What we will cover:

✅ Host Anthony Varrell sits down with Michael Bronstein, President of ATACH, and Nick Mortillaro, Executive Director of HILT, to unpack two major developments from Texas that are sending shockwaves through the cannabis and hemp industries.

First, Governor Greg Abbott signed a landmark bill expanding the Texas Compassionate Use Program (TCUP), opening access to medical marijuana for patients with chronic pain, TBI, Crohn’s disease, and more. The law boosts product diversity (hello, vapes and suppositories), increases dispensary licenses from 3 to 15, and adds critical reforms for patient access—an unprecedented leap in Texas cannabis policy.

Then, in a stunning twist, Abbott vetoed SB 3, a controversial bill that would have banned hemp-derived THC products and devastated a $1B+ industry employing over 50,000 Texans. Backed by Lt. Gov. Dan Patrick and most GOP lawmakers, the bill was fiercely opposed by veterans, farmers, and industry advocates. Over 100,000 Texans signed a petition urging the veto—and it worked.