4Front Ventures Wraps Up Acquisition Of Mass-Based New England Cannabis Co.

4Front Ventures Corp. FFNT FFNTF has wrapped up the previously announced purchase of Massachusetts-based cannabis cultivator New England Cannabis Corporation (NECC).

What Happened?

The Massachusetts Cannabis Control Commission approved the transaction during its public meeting on January 20, 2022.

What It Means

The acquisition of NECC and its licensed, fully operational 55,000 square feet cultivation facility, which was first announced in October 2021, immediately scales 4Front's presence as a dominant wholesaler and producer in Massachusetts, a competitive limited-license state.

The transaction more than doubles the company's total flower canopy in Massachusetts to over 30,000 square feet, with expansion potential for an additional 10,000 square feet.

NECC facility nearly triples 4Front's kitchen, processing and distribution space in the Bay State and will supplement the products currently sold via wholesale distribution and through 4Front's existing "Mission" dispensaries.

"We are thrilled to welcome New England Cannabis to the 4Front team, enabling us to further expand our award-winning and popular products into the most dynamic market in the Northeast," Leo Gontmakher, the company's CEO, said.

What's Next?

Gontmakher called the deal a "significant step" in Massachusetts as it will allow the company to establish its presence as a "leading operator in the region."

It will also allow 4Front to expand the distribution of its products in the wholesale market, supporting a goal of being the premier low-cost finished goods wholesaler in Massachusetts.

More recent news from 4Front Ventures:

• 4Front Ventures Brings One Of The World's Largest, Most Efficient Cannabis Manufacturing Facilities to California
• 4Front Ventures Reports Third Quarter Financial Results, Provides Business Update
• Cannabis Co. 4Front Ventures Posts 85% YoY Revenue In Q2, Adjusted EBITDA Of $7.5M
• 4Front Ventures Finalizes First Phase Of Cannabis Facility In Illinois Expected To Create At Least 500 Jobs And Millions In Revenue

FFNTF Price Action

4Front Ventures' shares traded 2.06% lower at $0.6366 per share at the market close on Friday.

Photo: Courtesy of Sam Doucette on Unsplash