HEXO Corp.‘s (TSX: HEXO) (NYSE: HEXO) dirt-cheap cannabis brand, designed to stick it to the black market, is hitting Ontario shelves this Black Friday.
Original Stash will hit shelves at $140 for 28 grams, or $5 per gram, and is intentionally priced just below illicit weed, which sells for $5.59 per gram, according to Statistics Canada.
“Original Stash is providing consumers with quality weed at legit prices,” HEXO CEO Sebastien St-Louis said in a statement. “Consistent, reliable and controlled products like this can play a major role in achieving the goals we set out nationally by legalizing cannabis just over a year ago: eliminating the illicit market and protecting public health and safety.”
Read more: Canadian cannabis prices dropping, but black market continues to dominate
The brand first launched in HEXO’s home province of Quebec last month and was in high demand, St-Louis added.
Original Stash offers a low price per gram, but only sold in 28 gram chunks
HEXO CEO Sebastien St-Louis says Original Stash is quality weed at legit prices.
Original Stash’s first product, OS.210, is a 18 per cent THC sativa-dominant flower with an earthy, citrusy aroma and a “would buy again” rating from these online reviews.
Read more: Hexo corp. pushes back against black market by introducing low-cost cannabis product
The Black Friday-Ontario launch will add a second flower product to HEXO’s lineup.
OS.220 is a medium-level THC hybrid indica flower that will be available through the Ontario Cannabis Store, and any licensed retailer that wants to carry the brand.
Both products only sell in 28 gram formats, for $125.70 and $140 respectively.
Disrupting the Black Friday black market
Original Stash is designed to convert the 40 per cent of Canadians who still report buying their weed from the black market, according to the company.
Three-quarters of Canadians who consume cannabis said health and safety is an important consideration to them when choosing their products, while 42 per cent said price is their biggest concern, according to HEXO.
Licensed producers clearly have the edge when it comes to certified safety, as their cannabis is produced under strict regulation from Health Canada. But the illicit market still dominates sales. So a logical move for the legal market is to match, or beat, illegally sold weed on price.
“We are committed to playing a valuable role in eliminating the illicit market and in protecting public health and safety,” St-Louis said. “That’s why we are pleased to continue rolling out Original Stash across Canada, providing consumers with a quality product at a low price.”
