Cannabis producer Jushi Holdings Inc acquired Massachusetts-based retailer Nature’s Remedy at a cheaper price than initially offered, as valuation of weed companies across North America has dramatically dropped lately.
The decline in valuations over the last few months has been largely due to a lack of progress on anticipated federal marijuana reforms in the United States.
Jushi said on Monday its revised offer of $91 million upfront, down from $100 million agreed upon in April, comprised $40 million in cash, about $34.7 million in stock, a $11.5 million unsecured three-year note and a $5 million unsecured five-year note.
With the latest acquisition, Jushi entered one of the largest U.S. weed markets. The company has operations in seven states and a retail footprint of 24 dispensaries.
Source: Reuters.com