It was the last week of summer and you would think the news cycle would quiet down, but not in the cannabis industry. This week we saw some of the biggest deals happen.
But before we get to that, New York’s new Governor Kathy Hochul wasted no time in kickstarting the legal adult use program in the state. She named Chris Alexander as the Executive Director for the Office of Cannabis Management and Tremaine Wright was named the Chair of the Cannabis Board.
The biggest deal announced this week was TerrAscend Corp. (CSE: TER) (OTCQX: TRSSF) buying Michigan-based Gage Growth Corp. (CSE: GAGE) in a deal valued at $545 million. Gage’s portfolio includes the city and state approvals for 19 “Class C” cultivation licenses, three processing licenses, and 15 provisioning centers (dispensaries). Once the deal is closed, the combined business will have operations in 5 states and Canada, including 7 cultivation and processing facilities and 23 operating dispensaries serving both medical and adult-use cannabis markets in the U.S. and Canada.
Ayr Wellness Inc. (OTCQX: AYRWF) is buying Pennsylvania-based PA Natural Medicine, LLC, which operates three licensed retail dispensaries in the Commonwealth of Pennsylvania. The deal is valued at $80 million but could see an extra $40 million if milestones are met.
Planet 13 Holdings Inc. (CSE: PLTH)(OTCQX: PLNHF) is buying a subsidiary of Harvest Health & Recreation Inc. (OTC: HRVSF) in an all-cash deal valued at $55 million. The company will be named Planet 13 Florida Inc
Harborside Inc. (CSE: HBOR) (OTCQX: HBORF) reported its financial results for the second quarter ending June 30, 2021, as revenues were essentially flat year over year, but up sequentially. The revenue for the quarter was $16.19 million versus last year’s $16.14, but an improvement over the first quarter’s total revenue of $12.9 million.
And in psychedelic news, Red Light Holland Corp. (CSE: TRIP) (OTC Pink: TRUFF) and Creso Pharma Limited (ASX: CPH) (OTCQB: COPHF) have mutually agreed to terminate the previously announced plan to merge.
Markets will be closed on Monday in celebration of Labor Day.