TerrAscend Corp. has signed definitive securities purchase agreements facilitating a significant investment in three entities in California operating The Apothecarium, a retail dispensary brand that offers cannabis to both medical patients and adult-use customers.
“TerrAscend has agreed to pay cash consideration of US$73.7 million plus proportionate voting shares in the equity of TerrAscend equivalent to 7.325 million TerrAscend common shares,” reports the biopharmaceutical and wellness company focused on the global cannabinoid market whose subsidiary, TerrAscend Canada Inc., is a licensed producer of cannabis.
The agreements “represent total consideration of approximately US$118.4 million. Such consideration is payable by TerrAscend in stages, subject to regulatory approvals by various local and state authorities in each of the markets where the assets and licences are held, as well as certain customary closing conditions,” a company statement notes.
The Apothecarium has four retail dispensaries in California and Nevada, the press release states. “The purchase agreements also include the acquisitions of a vertically integrated operation in Nevada with cultivation, edible manufacturing and an Apothecarium retail location, as well as Valhalla Confections, a provider of leading premium edible products.”
The strong management teams for The Apothecarium and Valhalla—which makes select cannabis-infused artisan edibles that are gluten-free and made with organic ingredients—bring “best-in-class cultivation, distribution, retail, branding, design and regulatory expertise, which are well-aligned with and further supplement TerrAscend’s existing strategy and operations,” says Matthew Johnson, president of TerrAscend Corp, and TerrAscend USA, Inc.
“We believe The Apothecarium is the model for operational excellence and will set the tone for our U.S. cultivation and retail expansion, and we admire their philanthropic dedication and local community engagement,” Johnson continues.
“TerrAscend’s focus on health and science is a great fit with our focus on patient education and serving the needs of the community,” comments Ryan Hudson, CEO and