The Cannabist Company announced the sale of its Virginia assets to a subsidiary of Curaleaf Holdings Inc. for $110 million.
The assets include retail locations and cultivation capacity in the Richmond region.
The sale is part of the Company's strategic review process to address operational and financial challenges in the industry.
Transaction Details
Total consideration of $110 million for the sale of ownership interests in Virginia assets to Curaleaf Holdings Inc.
Equity Purchase Agreement
Buyer to purchase all equity interests of gLeaf Virginia from the Member for $110 million, with payment terms including cash and a promissory note.
Go-Shop Period
A 15-day go-shop period allows solicitation of alternative proposals, subject to certain conditions and a break-fee of $3.3 million.
- The sale will impact the Company's financial position by providing significant cash inflow.
- The strategic review process aims to address industry challenges and uncertainties surrounding federal regulatory changes.
The agreement reflects The Cannabist Company's proactive approach to addressing challenges and exploring strategic alternatives in the cannabis industry.