Marijuana multistate operator Jushi Holdings revised downward the upfront payment of $100 million to $91.2 million to acquire vertically integrated Nature’s Remedy. Under the terms of the agreement, Jushi’s payment is: $40 million in cash, $34.7 million in stock, a $11.5 million unsecured three-year note, a $5 million unsecured five-year note. Jushi also paid an additional $2.9 million in cash for excess inventory worth $17.5 million.
“With its strong, defensible retail position and a scalable cultivation footprint, Nature’s Remedy offers significant opportunities for us to expand and grow our presence in this rapidly maturing adult-use market,” said Jim Cacioppo, Jushi’s CEO, chair and founder.
The acquisition gives Jushi entry into the Massachusetts market. Nature’s Remedy operates a 50,000-square-foot cultivation and production facility in Lakeville, MA (with 22,000 square feet of indoor flower canopy and extraction and manufacturing space) and retail stores in Millbury, MA and Tyngsborough, MA.
Jushi also said it expects to issue up to 4.3 million fewer company shares.