Curaleaf Holdings (CSE: CURA) announced this morning that the company’s acquisition of Grassroots has seen the required “HSR waiting period” lapse, meaning the company has essentially been given the green light by the Department of Justice to continue with the acquisition under antitrust laws.
First announced in July 2019, Curaleaf is to acquire Grassroots for a total sum of US$875 million, which is comprised of $75 million in cash and the remainder in common stock. A total of 102.8 million subordinate voting shares are expected to be issued upon the closing of the transaction, in addition to $40 million in Curaleaf shares priced at the 10-day moving average at the time of closing.
The acquisition at the time of announcement consisted of 61 dispensary licenses, with 20 locations in operation. Also included are 17 cultivation and processing licenses spread throughout the US.
The acquisition of Grassroots, formally known as GR Companies, is expected to close in Spring 2020, which follows the original timeline provided by the company when the deal was first announced.
Curaleaf last traded at $7.94 on the CSE.
Information for this briefing was found via Sedar and Curaleaf Holdings. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
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