Preparing to expand in Michigan and jump into Illinois operations following the legalization of recreational marijuana usage, KushCo Holdings, Inc. (OTCQX: KSHB) just opened a new distribution facility. 

The 40,000 sq. ft. distribution site is located in Taylor, Michigan and is meant to streamline operations in the Midwest. In addition to offering centralized distribution, the facility includes company office space, a show room, and a sampling area. 

With Gov. J.B. Pritzker signing HB 1438 into law earlier this week and officially legalizing recreational marijuana in Illinois, the American Midwest is poised to become the next big gold rush for multi-state cannabis companies. 

That new law in Illinois marks the 11th U.S. state to legalize adult use cannabis for recreational purposes, defying federal law that lists marijuana as a Schedule I drug with no accepted medical use and a high potential for abuse. 

As the candidates for the upcoming 2020 Presidential election begin their debates, nationwide legalization is expected to become a more prominent issue in the coming months, and other Midwest states are likely to put legalization on their individual ballots. 

Discussing the company’s investment into the Midwest and overall expansion plans in the area, KushCo’s Chief Executive Officer Nick Kovacevich commented: 

This new initiative will expand our footprint and deepen our relationships with operators in the region. Our 215% quarter-over-quarter growth in Michigan is a testament to the potential in the region and our ability to remain a valued partner in the most promising recreational and medical markets across the United States.

As KushCo works with cannabis management services organizations in states like Illinois and Michigan, the company also just brought on a new member of senior management to oversee expanding operations. 

Earlier this month KushCo officially appointed Rodrigo De Oliveira to the role of Chief Operating Officer after serving in the position on an interim basis since February. The Six Sigma black belt brings nearly two decades of experience to KushCo working with companies such as Nike, General Electric, and Oakley. 

In addition to the new COO, the company also added to its overall leadership team with new hires for the VP of Strategic Procurement and VP of Operations positions.