TerrAscend Closes on Acquisition of High-Performing Dispensary in Maryland
Tuesday, January 31, 2023
TerrAscend Corp., a leading North American cannabis operator, today announced the closing of its previously announced acquisition of Allegany Medical Marijuana Dispensary ("AMMD"), a medical dispensary in Cumberland, Maryland. Under the terms of the agreement (the "Transaction"), TerrAscend has acquired a 100% equity interest in AMMD for total consideration of US$10 million in cash, in addition to entering into a long-term lease with the option to purchase the real estate.
This high-performing medical dispensary, located in Northwest Maryland within six miles of both the West Virginia and Pennsylvania borders, generated net revenues in excess of $8 million in 2022. In anticipation of adult use later this year, TerrAscend expects to rebrand the 10,000 square foot dispensary as The Apothecarium, the Company's award-winning retail dispensary concept. The dispensary will carry TerrAscend's full selection of high-quality branded products, including Gage, Kind Tree, Valhalla, and Wana edibles, subject to regulatory approval. TerrAscend's retail footprint now includes 32 dispensaries nationwide.
"Our Maryland strategy is coming together nicely," said Jason Wild, Executive Chairman of TerrAscend. "When we entered the state, we planned to significantly expand our cultivation and manufacturing capacity, in addition to vertically integrating. Since that time we have completed and operationalized our state-of-the-art 150,000 square foot facility, and have now closed on the acquisition of this high-performing medical dispensary," continued Mr. Wild. "I could not be happier with how well we are positioned for the expected launch of Maryland's adult use program."