The Cannabist Company has officially sold all of the ownership interests of its Virginia subsidiary for cultivating, producing, manufacturing, distributing and selling cannabis.
The assets, bought by Millstreet Credit Fund, consist primarily of five active retail locations, one additional retail location in development, and approximately 82,000 square feet of cultivation and production capacity in the Richmond region.
The total consideration for the Transaction was $130 million, consisting of $117.5 million payable in cash at closing of the transaction (the “Closing”) and the remaining $12.5 million to be escrowed at closing.
Cannabist had originally intended to sell the assets to Curaleaf but the company called off the deal in December.
"After a rigorous due diligence process, the company determined this amount exceeded the rational fair value for the assets," said Curaleaf in a statement. It added that it expects to receive a break fee of $3.3 million.
