Trulieve forks out $66 million for two Pennsylvania medical cannabis firms

NEWS BRIEF

Published
September 17, 2020






Trulieve, the preeminent scientific cannabis operator in Florida, plans to create bigger to Pennsylvania by acquiring two MMJ firms in a $66 million deal.

Pennsylvania might perchance perchance well be the fifth assert by which Trulieve does alternate.

In step with a recordsdata start, the Tallahassee-basically based firm agreed to get McKeesport cultivator and producer PurePenn as effectively as dispensary operator Keystone Reduction Centers, which does alternate as Solevo Wellness in the Pittsburgh condominium.

To get PurePenn, Trulieve will create an upfront rate of $46 million made from $27 million in subordinate voting shares and $19 million in cash, plus a attainable earnout rate of up to approximately $60 million in Trulieve shares basically based on the achievement of definite agreed-upon earnings before ardour, taxes, depreciation and amortization (EBITDA) milestones.

Trulieve agreed to get Solevo for an upfront own tag of $20 million. The rate is made from $10 million in cash and $10 million in shares, plus a attainable earnout rate of up to approximately $15 million in shares basically based on the achievement of definite agreed-upon EBITDA milestones.

The deals are expected to conclude in some unspecified time in the future of the fourth quarter of 2020.

The acquisitions will create a vertically built-in firm in Pennsylvania for Trulieve, at the side of to the firm’s unique operations in California, Connecticut, Florida and Massachusetts.

The deal also will create bigger Trulieve’s cultivation footprint with 35,000 sq. ft of unique cultivation in Pennsylvania plus deliberate growth to 90,000 sq. ft in 2021.

With the acquisition, Trulieve can enjoy 60 dispensaries all over the nation.

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