Verano To Acquire Goodness Growth For US$413 Million In All-Stock Purchase

Verano Holdings (CSE: VRNO) is looking to significantly expand its footprint across the US. The firm this morning announced that it will be acquiring Goodness Growth Holdings (CSE: GDNS), formerly known as Vireo Health, in an all-stock transaction valued at US$413 million.

The definitive arrangement entered between the two firms will see Goodness Growth shareholders receive 0.22652 Verano Class A shares per subordinate voting share held. The exchange rate implies a price per share of US$2.64, or C$3.04 per share. Goodness shareholders are expected to hold a 10.1% stake in Verano on a post-closing basis.

A US$14.875 million termination fee is also in play on the proposed transaction.

The transaction will see Verano acquire a total of 18 active dispensaries, five cultivation and processing facilities, and R&D facility, and a number of brands under the Goodness Growth banner. The purchase will also see Verano expand its footprint to include the states of New York, where the company has four medical dispensaries, a cultivation facility and a home-delivery service, Minnesota, where the firm has two license, eight operating dispensaries, and a cultivation facility, New Mexico, Maryland, and Arizona. New Mexico and Maryland consist of several dispensaries and an operating cultivation facility in each state, while Arizona consists of an 18 acre outdoor production facility.

A special meeting of shareholders related to the transaction is expected to be held within the next 120 days to approve the acquisition.

Verano Holdings last traded at $13.40 on the CSE.


Information for this briefing was found via Sedar and the companies mentioned. 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.

Video Articles

2026 Could Be Gold’s Biggest Year Yet!? | Ryan King – Equinox Gold

Gold Is Screaming Higher While Currencies Burn | Simon Ridgway – Rackla Metals

We Have the Highest-Grade Antimony Deposit in North America!? | Jim Atkinson -Antimony Resources

Recommended

Canadian Copper Secures $8 Million Lead Order From Ocean Partners As Part Of Larger Funding Round

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Related News

Verano Sources Additional US$100 Million Under Credit Facility

Verano Holdings (CSE: VRNO) appears to again need further funding. After upsizing a credit facility...

Wednesday, February 2, 2022, 07:47:31 AM

Verano Holdings Pays US$17.0 Million For Single Retail Location In Arizona

Verano Holdings (CSE: VRNO) this morning expanded its presence in the state of Arizona. The...

Monday, March 22, 2021, 07:52:21 AM

Verano: Analysts Expect Q3 Revenues Of $219.7 Million

Verano Holdings (CSE: VRNO) announced that they will be reporting their third quarter financials before...

Monday, November 15, 2021, 10:10:00 AM

Harvest Health Sees COO Ron Goodson, Former President Of Verano, Retire From Company

Harvest Health & Recreation (CSE: HARV) this morning announced the retirement of chief operating officer...

Tuesday, December 8, 2020, 08:51:11 AM

Verano Holdings Acquires Fifth Ohio Dispensary, Details Slim

Verano Holdings (CSE: VRNO) has reached its operating capacity in the state of Ohio. The...

Friday, July 9, 2021, 08:37:16 AM