Planet 13 Holdings Inc. (CSE:PLTH) (OTCQX:PLNH) has made a deal to sell all the shares of its subsidiary, Planet 13 Florida, to SGW FL Enterprises LLC, for a cash payment of $9 million.
The subsidiary holds a medical marijuana treatment center license in Florida, and the sale of the license was necessary for Planet 13 to proceed its planned purchase of VidaCann, which has cultivation facilities and a large retail network in the state’s medical market.
In a statement, CEO Bob Groesbeck noted that selling this license was a key step in their expansion strategy in Florida.
He also mentioned that the money received from this sale will help in finalizing and integrating VidaCann into their operations.
The deal is expected to be completed in the first quarter of 2024. However, that’s contingent on meeting standard conditions for such transactions, including getting the necessary regulatory approvals and finalizing the acquisition of VidaCann simultaneously.
Canaccord Genuity Corp. is providing financial advice to Planet 13 for the sale.