PharmaCann announced plans to close a cannabis facility in Colorado and lay off 132 employees.
The North Denver facility is scheduled to shut down in May.
The closure comes not long after Minnesota-based Vireo Growth detailed a $49 million deal to acquire PharmaCann assets in the state. Besides 17 dispensaries, the agreement covers inventory, contracts and intellectual property. It will expand Vireo’s position in Colorado’s adult-use retail market to 41 retail locations.
Vireo Growth has been on an M&A spree over the past few months. In December, it announced a deal to acquire additional outstanding senior secured convertible notes from Schwazze. It also entered into a definitive agreement to acquire Eaze, a cannabis retailer and delivery technology platform with operations in California, Florida and Colorado. Eaze, which has been navigating financial troubles over the past few years, has 65 active retail locations and has completed more 12 million deliveries.
The deal gives Vireo two new markets in California and Florida. Eaze has four co-located retail and delivery locations and eight delivery-only locations in California with coverage in most major metropolitan areas of the state. In Florida, Eaze has 39 active stores and approximately 64,000 square feet of cultivation canopy with room to expand.
In January, Vireo Growth entered an agreement with Scotts Miracle-Gro to acquire The Hawthorne Gardening Company, an independent operating subsidiary of ScottsMiracle-Gro and provider of nutrients, lighting and other materials used for indoor and hydroponic cannabis cultivation.
