MJardin has agreed to buy a licensed cannabis cultivation facility in Las Vegas for roughly $22 million in cash and stock, allowing the Denver company to extend its geographic footprint into the Nevada marijuana market.
MJardin – which operates cultivation, processing and retail facilities in North America and has an office in Toronto – said in a news release it is acquiring a 4-acre site with two cultivation facilities in northeastern Las Vegas.
One facility is operational and the second is expected to be up and running by January.
Here’s what you need to know:
- The two facilities combined will have the capacity to produce more than 10,000 pounds of flower per year.
- MJardin will use the acquisition to develop extraction and packaging operations for brands and products that will be sold in Nevada.
- The company said it is negotiating supply agreements with various dispensary clients and “will continue to pursue strategic opportunities in Nevada and other states.”
- The deal is dependent on certain closing conditions, including regulatory approval from the Nevada Department of Taxation.
- The acquisition comes on the heels of MJardin’s announcement of its plans to go public in Canada via a reverse takeover.
- MJardin has cannabis operations in 13 states, Canada and Australia.