Verano Holdings Corp. announced the closing of acquisitions pursuant to agreements previously announced on July 29, 2024, and acquired all of the ownership interests of three subsidiaries of The Cannabist Company Holdings Inc., 203 Organix, L.L.C. and Salubrious Wellness Center, Inc. and Columbia Care Eastern Virginia LLC.
In Virginia, Verano will be the sole vertical cannabis operator in HSA 5 in Eastern Virginia, a region with nearly two million residents and 14 million annual tourists, and gains an active cultivation and production facility and six operational dispensaries in Hampton, Norfolk, Portsmouth, Suffolk, Virginia Beach and Williamsburg.
In Arizona, Verano gains an active cultivation and production facility and raises the company’s retail footprint to eight locations with the addition of stores in Tempe and Prescott, complementing its existing six Zen Leaf dispensaries and multiple cultivation and processing facilities in the state.
Total consideration for the Arizona operations was $15 million in the aggregate, subject to adjustment, paid in cash upon signing. Total consideration for the Virginia operations, subject to adjustment, was $90 million, which was paid upon closing and consisted of $20 million in cash, $40 million in Class A subordinate voting shares, and the issuance of a $30 million promissory note.
