The Cannabist Company announced today the closing of the sale of its 14 Florida dispensaries and two cultivation and manufacturing facilities in Alachua and Arcadia to MINT Cannabis and SHANGO, two privately held multi-state operators as joint venture partners. This agreement was previously announced on August 23, 2024.
MINT/SHANGO Transaction Highlights
- Consideration for the MINT/SHANGO Transaction, subject to adjustment, is $5 million. Upon closing, the MINT/SHANGO JV paid closing consideration of approximately $3 million in cash and issued a $2 million promissory note. $750k of this consideration was already held in escrow.
- Additionally, the MINT/SHANGO JV transferred to the Company all outstanding equity interest in its MMTC license entity, which the Company expects to divest to an additional third party.
- Transaction includes:
- 14 Cannabist dispensaries
- Two cultivation and manufacturing facilities in Alachua and Arcadia
- The Company’s MMTC license
“This sale is a key part of our ongoing strategy to streamline our company portfolio and strengthen the balance sheet as we build a better, more sustainable business. As we've previously noted, exiting Florida allows us to put cash on the balance sheet and exit a market that, because of an unbalanced portfolio, was not profitable for us. We are grateful for all the hard work and dedication from our Florida team and know they will be in good hands with the MINT/SHANGO JV. We continue to work towards closing the Lakeland transaction for an additional $11.4 million, and we can now proceed with the planned sale of the MMTC license received in the MINT/SHANGO transaction,” said David Hart, CEO, The Cannabist Company.
