Multistate marijuana company Goodness Growth Holdings announced an $8 million deal to acquire Charm City Medicus, a medical cannabis dispensary in Baltimore.
The $8 million acquisition agreement includes $4 million cash, $2 million in Goodness Growth shares subject to a one-year lock-up agreement, and a $2 million promissory note.
Upon closing, the dispensary will be rebranded to Goodness’ “Green Goods” dispensary brand, the company said in a news release.
Goodness Growth Holdings is the new name for the parent company of Minneapolis-based multistate cannabis operator Vireo Health International, a change that was announced in June.
“With our recent initiatives to expand cultivation and processing capacity in Maryland, we’re in an excellent position to continue growing our wholesale and retail sales in the state as our manufacturing capabilities enable us to offer the full spectrum of cannabis products to patients,” Goodness Growth chair and CEO Kyle Kingsley said in a statement.
The acquisition, subject to a license transfer approval by Maryland cannabis regulators, is expected to close “later this year.”
In late April, regulated medical marijuana sales in Maryland hit the $1 billion mark since launching in December of 2017.
An adult-use cannabis legalization effort in Maryland failed in March, but lawmakers are expected to try again in 2022.
Goodness Growth shares trade as GDNS on the Canadian Securities Exchange and GDNSF on the over-the-counter markets.