Cannabis Co Verano Expands In Pennsylvania, Wraps Up Three Previously Announced Acquisitions

Multi-state cannabis company Verano Holdings Corp. VRNO VRNOF has closed three previously announced acquisitions and significantly boosted its retail footprint in Pennsylvania.

TerraVida Deal: The Chicago-based company wrapped up the purchase of three medical marijuana dispensaries in Sellersville, Abington, and Malvern.

Verano disclosed its plans to merge subsidiaries with TerraVida Holistic Centers LLC and GVB Holding Group LLC, which operated stores, in February in a deal valued at $62.5 million in cash and 3,013,500 Class A Shares (worth roughly $60 million).

The price tag included $15 million payable upon closing the deal, $10 million payable within three months after the closing and the remaining $37.5 million to be paid in the following six months.

The Healing Center Deal: Verano also finalized the acquisition of three medical marijuana dispensaries in the Pittsburgh-metro area of Cranberry Township, Washington, and Monroeville.

The consideration for the three stores, previously operated by The Healing Center, LLC,  amounted to $110.3 million, including $55.15 million in cash and $55.15 million in Verano’s Class A subordinate voting shares and Class B proportionate voting shares.

Verano paid 50% of the sum at closing, with the remaining 50% is to be paid within the two following months.

NSE Pennsylvania Deal: Verano separately closed the acquisition of all issued and outstanding equity interests in NSE Pennsylvania, LLC., which enabled it to launch three medical marijuana dispensaries in the Keystone State.

Verano CEO George Archos disclosed earlier that he was “enormously excited for what the future holds” in the company’s core markets of Pennsylvania, Illinois and Arizona, which  “present robust, thoughtfully designed programs with great potential, for sound operators, patients, and consumers alike.”

VRNOF Price Action: Verano shares were trading 5.26% higher at $20, at the time of writing.

Photo by CRYSTALWEED cannabis on Unsplash