Los Angeles-based MedMen Enterprises, one of the most high-profile cannabis retailers in the United States, said Friday it plans to raise a total of $74 million by selling noncore assets and initiating a stock offering.
MedMen anticipates raising $54 million by selling marijuana licenses it views as noncore assets in Arizona and Illinois, its latest cost-cutting move.
In addition, MedMen expects to raise $20 million by offering class B shares at 43 cents each.
Initially, MedMen planned a $27 million offering but downsized in order to limit dilution of existing shareholders.
Proceeds will be used to finance working capital and to expand the company’s retail footprint in its core markets.
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