Curaleaf Signs Agreement To Acquire Eureka Investment Partners, Enters California Market

In a move to expand its influence to another major state in the cannabis industry, Curaleaf Holdings, Inc. CURLF announced -a definitive agreement Wednesday to acquire Eureka Investment Partners, LLC.

The move allows Curaleaf, a U.S.-based vertically integrated cannabis business, to acquire Eureka’s Monterey County, California-based cultivation facility, a Salinas Valley cultivation facility and three dispensaries in development across the state.

The dispensaries are located in Long Beach, Salinas and Monterey County and are expected to open in the second half of this year.

This marks Curaleaf's retail launch in the Golden State and signifies what the company considers “plans for aggressive expansion across the state.”

The Cannabis Capital Conference is coming back to Toronto April 17-18!

Subject to closing conditions, the acquisition is valued at $30.5 million: $10 million cash and $20.5 million in Curaleaf stock. A potential additional consideration will be paid if specific financial targets are exceeded, according to Curaleaf.

The deal is expected to close in March 2019.

In a statement, Curaleaf CEO Joseph Lusardi noted the importance of the company's entrance in California.

"The Eureka transaction represents a significant milestone for Curaleaf, enabling us to enter the highly attractive California market with a cultivation platform that we intend to use for statewide product distribution."

Curaleaf's operations whave been licensed by the state of California and the city of Davis, according to the company. 

Related Links:

'It Pays to be Vertical,' Curaleaf CEO Tells Cannabis Capital Conference

Curaleaf's Revenue Growth Nearly Quadrupled In Q3

Photo courtesy of Curaleaf. 

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CannabisNewsM&AMarketsEureka Investment Partnersmarijuanapotweed
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Cannabis is evolving – don’t get left behind!

Curious about what’s next for the industry and how to leverage California’s unique market?

Join top executives, policymakers, and investors at the Benzinga Cannabis Market Spotlight in Anaheim, CA, at the House of Blues on November 12. Dive deep into the latest strategies, investment trends, and brand insights that are shaping the future of cannabis!

Get your tickets now to secure your spot and avoid last-minute price hikes.