Investment firm Verdant Capital Partners said it has entered into a definitive agreement to acquire the retail operations of Native Roots, consisting of 17 cannabis dispensaries located in Colorado.
Native Roots is one of the longest-operating cannabis dispensary operators in the United States, having been established in 2009.
Verdant said the transaction provides a path forward for the Native Roots retail business and positions the platform for continued operations under new ownership, subject to customary regulatory approvals.
"We believe this transaction represents a constructive outcome for the company and its retail employees and provides a clear path forward for the business," said Native Roots CEO Jonathan Boord in a statement.
The sale of Native Roots comes after years of legal battles between company co-founder Josh Ginsberg and former partner Peter Knobel. In 2017, Knobel attempted to sell his share of the company to private equity, but Ginsberg argued that he had right of first offer to buy the shares for $8.8 million. He said Knobel disparaged him, hurting his ability to raise funding for the acquisition.
