Vireo Growth Inc. Enters into Definitive Agreement to Acquire Certain Assets of PharmaCann Inc.

Core Viewpoint - Vireo Growth Inc. is expanding its retail presence in Colorado by acquiring 17 dispensaries from PharmaCann Inc., bringing its total to 41 dispensaries in the state, which strengthens its leadership position in the adult-use retail market [1][2]. Group 1: Transaction Details - The total consideration for the acquisition is approximately $49.0 million, payable in subordinate voting shares at closing, along with the assumption of certain liabilities [2]. - The share consideration will be adjusted based on inventory levels and trade payables of the acquired dispensaries, and will be subject to customary resale restrictions under Canadian securities law [2]. - A Management Services Agreement has been established, allowing one of Vireo's subsidiaries to manage the acquired dispensaries until the closing, pending necessary regulatory approvals [2]. Group 2: Strategic Implications - The CEO of Vireo, John Mazarakis, emphasized that this transaction aligns with the company's strategy of growth through accretive mergers and acquisitions, complementing other recent acquisitions in Colorado [3]. - Vireo was founded in 2014 as a pioneering medical cannabis company, focusing on building a disciplined and execution-oriented platform in the industry [3].