Multistate operator Ethos Cannabis said Tuesday it reached a deal with a competing MSO, 4Front Ventures, to purchase the rights to seven medical marijuana dispensaries in Maryland and Pennsylvania.
Terms of the deal were not disclosed.
But the acquisition comes on the heels of Arizona-based 4Front’s announcement that it netted $18 million from the sale of its stake in cannabis retail licenses in Maryland and Pennsylvania.
In addition, Pennsylvania-based Ethos recently closed a $35.25 million capital raise, according to a company news release.
Only five of the stores Ethos is acquiring are currently operating under 4Front’s brand of Mission dispensaries.
They are located in Allentown, Pennsylvania, and Catonsville, Glenmont, Hampden and Rockville, Maryland.
The Pennsylvania acquisition comes with an option for Ethos to start two additional dispensaries in the state, bringing to seven the number of dispensaries acquired.
Also, Ethos plans to open two new dispensaries “as soon as possible,” according to the release.
The acquisitions are pending approval from regulators in both states. All stores will be rebranded from 4Front’s Mission to Ethos Cannabis.
Ethos already has a medical marijuana industry footprint in Pennsylvania as well as Arizona, Florida and Massachusetts and has submitted an application to open a vertically integrated MMJ company in New Jersey as well.