Ayr Wellness Shares Slightly Up On Heels Of $17M Parma Wellness Center Acquisition

Ayr Wellness Inc. AYR AYRWF, confirmed Tuesday it has completed the acquisition of Ohio-based Parma Wellness Center LLC in a $17 million cash deal.

The New York-headquartered multi-state cannabis operator purchased 100% of the membership interest of the management company and related real estate.

The total purchase price of $17 million consists of $13 million for the management company interest and $4 million for real estate.  

Ayr Wellness plans to support the building of the facility with $20 million, and projects it will be operational in the first quarter of 2022.

Parma owns a provisional level 1 medical marijuana cultivator license in the Buckeye state, and has original construction plans for 25,000 sq. ft. of canopy inside a building.

Under the Ohio law, Ayr Wellness could opt to further advance canopy space once the initial phase of the level 1 cultivation facility build-out is completed.

 “We are thrilled to be entering the Ohio market at an early stage in its development,” Jonathan Sandelman, CEO of Ayr Wellness stated. “The Ohio medical program is expanding, and we are now the management company for one of only 19 level 1 cultivation licenses – the largest canopy license in the state – to serve a population of close to 12 million. We look forward to bringing Ayr’s high-quality cannabis products to the medical cannabis patients of Ohio.”

At the time of writing, Ayr Wellness’ shares were trading 5.10% higher at $29.88 per share.