(This story has been updated to reflect that Curaleaf’s acquisition of Cura Cannabis closed on Feb. 1.)
Cura Cannabis, one of Oregon’s largest marijuana companies, agreed to pay a record $110,000 penalty to the state.
The company paid the fine to settle charges that it falsely claimed its Select brand of vaping products contained 100% marijuana when they also contained additives.
The settlement also paves the way for the company’s pending sale to close, The Oregonian reported.
According to the settlement, Cura Cannabis incorrectly claimed that more than 186,000 vapes were 100% cannabis, but the products also contained “botanically derived terpenes and/or medium-chain triglyceride (MCT) oil as an ingredient.”
With the fine out of the way, Massachusetts-based multistate operator Curaleaf was free to close on its purchase of Cura Cannabis on Feb. 1 as previously scheduled.
In May 2019, Curaleaf agreed to acquire Cura Cannabis – aka Cura Partners – in an all-stock deal that, at the time, was valued at almost $1 billion.
In October, however, Curaleaf reduced the number of shares it was offering by 42.5%, dramatically lowering the acquisition price.