Multistate cannabis operator Ayr Wellness has entered into agreements to acquire two dispensaries in Illinois, as well as two cannabis companies in Nevada.
Announced this week, the deals are valued at $30 million and $17 million, respectively.
Ayr’s planned purchase of Herbal Remedies Dispensaries, LLC in Illinois is expected to close in the fourth quarter of 2022 and will include $10 million in stock, $12 million in seller notes and $8 million in cash.
“Today’s announcement represents the next step in our goal to position Ayr as a leading MSO, with a strong presence in states that deliver meaningful revenue,” chairman and CEO Jonathan Sandelman said via a release. “Illinois will become the eighth state in our expanding footprint, which now reaches close to 85 million people.”
Sandelman added that Illinois cannabis sales, which kicked off 18 months ago, are currently “run-rating at $1.8 billion” annually.
Meanwhile, in Nevada, Ayr plans to spend $17 million ($5 million in cash, $3.5 million in debt, and approximately $8.5 million in stock) to acquire cultivator Tahoe Hydroponics Company and concentrates company NV Green, Inc.
Combined, the deal will provide Ayr with two cultivation licenses, one production license and one distribution licenses.
Though separate companies, the two Nevada businesses share partners, according to MJBizDaily.
The deals come after Ayr received provisional licenses to sell adult-use cannabis at two dispensaries in the Boston area.
Additional details are available in the news releases, including below.
Ayr Wellness Enters Illinois with Agreement to Acquire Herbal Remedies Dispensaries, LLC
NEW YORK, July 20, 2021 (GLOBE NEWSWIRE) — Ayr Wellness Inc. (CSE: AYR.A, OTCQX: AYRWF) (“Ayr” or the “Company”), a vertically-integrated cannabis multi-state operator (MSO), has entered into a definitive agreement to acquire Herbal Remedies Dispensaries, LLC