MedMen Completes Non-Core Asset Sales, Equity Placement For $74 Million In Cash Proceeds

Cannabis retailer MedMen Enterprises Inc. MMEN MMNFF reported Friday the completion of term sheets for non-core asset sales and the execution of subscription agreements for its previously announced equity placement.

Both the non-core asset sales and equity placement should produce aggregate gross cash proceeds of around $74 million.

MedMen announced the sale of several on-core assets in November, and on Friday the company said it has completed a non-binding term sheet for the sale of its Arizona licenses and a binding term sheet for the sale of a cultivation and manufacturing licenses in Illinois. The company projects it will generate around $54 million in gross cash proceeds from this sale.

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In December, the company announced the execution of a term sheet for its of Class B subordinate voting shares for gross proceeds of $27 million. MedMen said it has decided to reduce the size of the equity placement to around $20 million to limit dilution to its shareholders.

MedMen shares were down 4.05% at 51 cents at the time of publication Friday. 

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