Verano Holdings To Spend US$175.5 Million Acquiring Permits In Pennsylvania
Verano Holdings (CSE: VRNO) is continuing to buy up assets south of the border. The company this morning announced that it will be spending US$175.5 million, before potential earn-outs, to expand its presence in the state of Pennsylvania.
The arrangements entered into by the company are with that of Agri-Kind, Agronomed Holdings, and Agronomed Biologics, whereby the company will acquire two cultivation licenses, one of which is an active operation and the other under construction, as well as a permit for six dispensaries. None of the dispensaries are currently in operation and require development.
The transactions will see the company pay US$66.0 million in cash for Agri-Kind and Agronomed Holdings, as well as US$49.5 million in shares, the latter of which is subject to adjustment. An earn-out is also present on the acquisition for up to US$31.5 million in further payments. Agri-Kind consists of a 62,000 square foot cultivation facility, while the specifics of what is contained in Agronomed Holdings was not provided.
Agronomed Biologics meanwhile is to be acquired for US$60.0 million in an undisclosed split between cash and stock of the company, with additional earn-outs reportedly involved in the transaction but for which details were not provided. The firm contains permits to open a cultivation facility as well as six dispensaries and to conduct research with Drexel University College of Medicine. The firm is described as being a research joint venture between The Healing Center and Agronomed Pharmaceuticals.
Verano Holdings last traded at $22.75 on the CSE.
Information for this briefing was found via Sedar, and Verano 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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