Marijuana Business Magazine July 2019

Marijuana Business Magazine | July 2019 20 Recent deals, acquisitions and other announcements from North American cannabis companies By Omar Sacirbey Company News | U.S. & Canada Curaleaf Makes $1 Billion Buy Massachusetts-based Curaleaf , a vertically integrated cannabis company, agreed to acquire Portland, Ore- gon-based Cura Partners in an all-stock deal worth $949 million. Curaleaf will issue 95.6 million subordi- nated voting shares, giving Cura a roughly 16% stake in the company. Cura’s Select brands are available in more than 900 retailers, mainly in Western states such as Arizona, California, Nevada and Oregon. Curaleaf said the deal, which is expected to close later this year, will allow it to make more acquisitions. Curaleaf also bought Ohio Grown Therapies for $20 million. The deal, expected to close in the second half of 2019, includes the acquisition of the Johnstown, Ohio-based company’s cultivation and processing facilities and licenses. Charlotte’s Web Announces TSX Listing Hemp CBD extract producer Charlotte’s Web Holdings in Boulder, Colorado, started trading on the Toronto Stock Exchange (TSX) on May 31 with an opening price of $13.87 (CA$18.75) per share. TSX is the ninth-largest stock exchange in the world. Char- lotte’s Web voluntarily delisted the previous day from the Canadian Securities Exchange, where it had traded for nine months. Charlotte’s Web believes the TSX listing will increase its exposure to capital markets and institutional investors and capital. Acreage Gets Roots in Nevada New York multistate operator Acreage Holdings acquired Deep Roots , a vertically integrated cannabis company in Nevada, in a $120 million deal secured through Acreage subsidiary High Street Capital Partners. Deep Roots owns a cultivation facility in Mesquite, Nevada, where it also has manufacturing and processing operations. The company also has a wholesale distribution business that serves 80% of Nevada and possesses licenses to run seven dispensaries in the state. Acreage announced the deal the same day it disclosed it was being acquired by Canadian cannabis giant Canopy Growth (see “Canada Developments”). Natura Nabs $91 Million for Construction California-based Natura Life + Science announced the completion of a $91 million raise to build a 265,000-square-foot facility to host cultivation, processing, wholesale packaging and a delivery-only dispensary. The facility will be capable of producing upwards of 80,000 pounds of premium dried flower and processing 750,000 pounds of dry material per year. Natura is scheduled to begin manufacturing, dis- tribution and delivery in the third quarter of 2019 and expects to begin cultivation in early 2020. Indus Expands to Nevada, Oregon Cannabis company Indus Holdings , based in Salinas, California, expanded its operations to Nevada and Oregon by signing an agreement to acquire the assets of W The Brand , a manufacturer and distributor of marijuana concentrates, cartridges and disposable pens, for $20 million in stock and cash. Indus gains a 24,000-square-foot cultivation and processing facility near the Las Vegas Strip with the option to expand the operation to nearly 76,000 square feet. The Oregon manufacturing facility that Indus is acquiring is 6,000 square feet, including a warehouse, office and lab near downtown Portland. The transaction is expected to become final at the end of 2019. BioTrackTHC Wins Maine Contract Florida-based Bio-Tech Medical Software , which offers BioTrackTHC software, was conditionally awarded Maine’s track-and-trace contract. BioTrackTHC is a wholly owned subsidiary of Helix TCS . BioTrackTHC was one of six companies to bid for the contract. U.S. DEVELOPMENTS