Canada’s TerrAscend looks to snap up US marijuana firm Ilera for up to $225M

Advanced multi-tier cannabis grow strategies unveiled. Learn from the pros at Pipp Horticulture on how to maximize your indoor yield and avoid costly mistakes through effective planning and design and system integrations. Join us Sept. 20 at 2 p.m. EST. Don’t miss this free webinar.


TerrAscend, an Ontario, Canada-based vertically integrated cannabis company, agreed to acquire Ilera Healthcare, a Pennsylvania-based marijuana cultivator, processor and dispensary operator for up to $225 million (CA$297 million).

The total cost of the transaction will depend on Ilera reaching certain revenue and profitability targets.

For now, TerrAscend is set to pay $25 million in cash and $25 million in stock with an additional $175 million to be paid in cash depending on the Ilera targets being met.

Here’s some information surrounding the deal:

  • Ilera operates a dispensary in Plymouth Meeting, Pennsylvania, with plans to open two more dispensaries in the state by the end of this year.
  • The company also has a cultivation, extraction and processing facility in Waterfall in the state and distributes its products to 50 of the state’s 52 dispensaries.
  • The transaction is expected to close in the fourth quarter of 2019.

TerrAscend, which trades on the Canadian Securities Exchange as TER, reported revenues of CA$14.6 million ($10.95 million) for the quarter ended March 31, 2019, with a net loss of CA$11.2 million.