CLS Holdings USA Inc. (OTC: CLSH) has made a move to enter the growing marijuana market in Massachusetts, with a $5 million loan to In Good Health, a medical dispensary in Brockton.

The move was announced Nov. 5, 2018, and the company operating as Cannabis Life Sciences for its various cannabis-related endeavours, and as Oasis Cannabis primarily in Nevada for producing and selling cannabis, noted it is following its timeline efficiently and in a timely manner to anchor the market.

The dispensary in Brockton, located 25 miles south of Boston, was only the second dispensary in the state to receive a license. In Good Health offers services to 17,000 patients, including delivery to 1,700 households.

The investment for CLS Holdings is in tune with its mission statement of entering growing markets with attractive characteristics. The Massachusetts market has been growing since legalization in 2015, with potential for significant growth in the coming years.

CLS Holdings has seen significant improvement in stock performance over the last year, with a total of 152% growth. The company has headquarters in Boulder, CO, and was founded in 2011.

The 65-day average for the stock is 141.9 thousand. The stock opened at $0.97.

The move to enter the Massachusetts market makes sense due to the location of the state and the higher population, at 6.9 million, compared to only 5.6 million in Colorado.

The company’s financial strength in the market is currently 4/10, with a three-year EBITDA growth rate of 19.30. The earnings yield is currently -5.63, which is lower than comparative industry numbers but an improvement over the stock’s history.

In October, CLS Holdings announced plans to sell shares in Canada, working with a Canadian agent. The agreement would involve up to $40 million aggregate. The conversion price for the deal was $0.80 per unit.

This move was a proactive measure to gain the funds necessary to make the loan to In Good Health. The funds also were intended to improve facilities in Las Vegas and Leicester that the company already owned and operated, as well as provide general working capital for the company’s day-to-day operations.