MedMen acquires troubled New York medical cannabis licensee

MedMen, a California-based marijuana management and consulting firm, has acquired Bloomfield Industries, a financially troubled New York cannabis business license holder that in recent months has been unable to pay vendors and has been casting for new investors.

A New York Health Department spokeswoman emphasized to Politico that Bloomfield would not be transferring its license to MedMen, a move that is prohibited under state cannabis business laws. Rather, she described the transaction as a change in ownership, which is permitted if approved by the health department.

Bloomfield Industries is one of five licensed medical marijuana companies in New York that launched medical marijuana programs a year ago.

MedMen is partnered with Wicklow Capital, a Chicago-based family office that helped the firm launch a $100 million canna-centric private equity fund. Wicklow, however, is already the primary investor in PharmaCann, another of New York’s five licensed cannabis businesses.

Despite the ownership change, MedMen must keep intact Bloomfield’s operating plan, including providing the same merchandise, and conduct business as Bloomfield Industries until its two-year registration expires July 31, Politico reported. The new owners also must use the same pricing system as Bloomfield and use the same facilities.