Transaction Brings Leading Dispensary as well as Two Retail Licenses and Two Additional Retail Sites Under Development in Southern California
Company to Expand Delivery Service from New Southern California Operations
SANTA ANA, Calif., Aug. 16, 2021 (GLOBE NEWSWIRE) — Unrivaled Brands, Inc. (OTCQX: UNRV) (“Unrivaled” or the “Company”) today announced that the Company has executed a definitive agreement to acquire People’s First Choice, which operates an existing dispensary in Santa Ana, California (the “Santa Ana Dispensary”), and has licenses for two locations with retail sites planned in two additional locations, making five locations in total. Pursuant to the agreement, Unrivaled will take full control of the Santa Ana Dispensary operations and will receive all economic benefits starting September 1, 2021.
We believe the Santa Ana Dispensary is one of the largest and most prominent licensed dispensaries in California, and experiences greater than 1,000 average transactions per day. The facility is highly visible from the Costa Mesa Freeway, ideally located next to the off-ramp, and offers in-store kiosks and online ordering for express pickup or delivery. In addition, People’s holds additional licenses for Los Angeles and Riverside and two retail sites under development in Southern California, all of which are included in the acquisition.
The Company expects to have the Los Angeles and Riverside dispensaries operational by January and March 2022, respectively. In addition to the revenue accruing to the Company starting September 1, 2021, management believes that these two new dispensaries, along with the existing Santa Ana location, will add more than $60 million in new revenues to the Company in 2022. In addition, virtually all of the existing People’s corporate SG&A will be eliminated, increasing cash flow.
Unrivaled’s CEO, Frank Knuettel II, stated, “We are delighted to expand our reach and increase the availability of Unrivaled’s existing brand portfolio to a broader audience of