Chicago-based cannabis multistate operator Verano Holdings Corp. has secured a $195 million loan it intends to use to pay down old debt in anticipation of a busy 2026, the company announced Thursday.
Backed by Needham Bank and Chicago Atlantic Financial Services, the loan carries a 9.5% annual interest rate and matures in 2029 – terms that Verano CEO George Archos praised in a statement as some of the “most beneficial… in the industry.”
Is Verano positioned for a ‘game-changing’ year?
Like other MSOs, Verano is significantly leveraged. The company had $350 million worth of debt coming due in 2026, and owed a total of $400 million as of the end of 2025, according to its annual financial statements released Thursday.
But the new loan, plus drawing the remaining $50 million from its existing $100 million revolving line of credit established in September, allows the company to “payoff and terminate” debt it took out in 2022, the company said.
The loan carries monthly payments of $875,000 that begin in April, as per the company.
Verano’s financial maneuvers come as the cannabis industry struggles with high debt levels and price compression.
But they also come as other operators aggressively pursue deals in the wake of President Donald Trump’s Dec. 18 executive order directing cannabis be downgraded under federal law.
That may soon include Verano, which had a relatively quiet 2025.
In his statement, Archos suggested 2026 will be a busy year for his company.
“We are well-positioned to leverage potential catalysts in what may be a game-changing year for Verano and the industry in 2026,” he said.
What are marijuana MSO Verano’s expansion plans for 2026?
Verano has been on a shopping spree in recent years, acquiring several cannabis operators to expand its footprint across 13 states.
Notable deals include the acquisitions of:
- The Cannabist Co.’s plant-touching operations in Arizona and Virginia for $105 million in 2024
- Nevada-based Sierra Well for $29 million in stock and cash in 2021
- Territory Dispensary’s Arizona retail assets for $7.3 million in cash and stock in 2021
Verano was also awarded one of the newly available vertically integrated medical cannabis permits in Texas.
