TerrAscend Closes Acquisition Of Top Performing Maryland Cannabis Dispensary, Peninsula Alternative Health

TerrAscend Corp TRSSF announced the closing of its previously announced acquisition of Derby 1, LLC, or Peninsula Alternative Health, a medical marijuana dispensary in Maryland, adding one more dispensary to the Company’s Maryland footprint in advance of adult-use sales, which will begin on July 1.

“Adding a second high-performing medical dispensary in Maryland, and soon to be third, is an important step in our strategy to become a market leader in the state,” said Jason Wild, executive chairman of TerrAscend. “We expect Peninsula to quickly become one of our highest-performing dispensaries nationwide. With less than a week until the launch of adult-use in Maryland, we are focused on signing additional acquisitions and reaching the four-dispensary cap as our northeast business unit will soon be operating in Maryland under the same successful business model we built in New Jersey.”

The transaction is expected to be immediately accretive to TerrAscend on an EBITDA and cashflow basis. TerrAscend recently announced entering into a definitive agreement to acquire Hempaid, LLC (d/b/a “Blue Ridge Wellness”), its third medical dispensary in Maryland once closed. 

As one of the highest-performing dispensaries in Maryland, Peninsula Alternative Health has a net revenue run rate of approximately $14 million. Strategically located near the Delaware border in Salisbury, Maryland, this 8,500-square-foot dispensary has no direct competitor within a 25-mile radius.

TerrAscend expects to achieve significant sales and margin improvement at this location with the launch of adult-use cannabis this weekend and by offering a complete selection of its high-quality brands including Kind Tree, Gage, Cookies and Wana Brands.

With the close of this transaction, TerrAscend's retail footprint increases to 35 dispensaries nationwide.