Jay-Z's The Parent Co. Terminates $50M Investment In Glass House As The Company Goes Public Via SPAC Merger

TPCO Holding Corp. GRAM (OTCQX: GRAMF), which does business as The Parent Company terminated a conditional agreement to invest $50 million in GH Group, Inc. ("Glass House") via a private placement offering by Mercer Park Brand Acquisition Corp. (NEO:  BRND.A.U; OTCQX: MRCQF).  

The deal termination comes on the heels of the completion of a previously announced $567 million business combination between a special purpose acquisition company Mercer Park and Glass House. Following the merger, Glass House’s subordinate, restricted and limited voting shares and warrants were approved for listing on NEO Exchange under the symbols “GLAS.A.U” and “GLAS.WT.U”, respectively. Trading is scheduled to start next week.

The Parent Company added that while the strategic investment won’t be completed now, the company will explore future collaboration options when Glass House finalizes the acquisition and reconstructs its greenhouse cultivation facility in California.

"In addition to our supply of award-winning, in-house cannabis, we remain well-positioned with sufficient access to both high-quality, low-cost indoor and outdoor-grown cannabis for use in our portfolio of branded products that are sold through our wholesale and direct-to-consumer channels," Steve Allan, The Parent Company CEO said.

Alan noted that Glass House is working on advancing its cultivation footprint in California.

“We look forward to working with their team in the future on potential collaborations as we broaden our reach across the State. Looking ahead, we will continue to strategically deploy our capital on high-growth investment opportunities that will solidify our leadership position and offer strong value for our shareholders,” Alan concluded.

Price Action 

The Parent Company’s shares were trading 0.09% lower at $5.55 per share at the time of writing.

Photo by Elsa Olofsson on Unsplash