Public Companies
Red White & Bloom Closes Blockbuster Michigan PharmaCo Acquisition
With the Highly-Anticipated PharmaCo Acquisition Now a Done Deal, the State of Michigan Has Officially Transferred 21 Medical and Adult-Use Cannabis Licenses…
U.S. multi-state operator (MSO) Red White & Bloom (CSE: RWB) (OTCQX: RWBYF) announced it has closed its highly-anticipated PharmaCo acquisition after receiving all the necessary regulatory approvals from the state of Michigan. The all-stock deal originally announced on July 27, 2020, was completed via the company’s wholly-owned subsidiary RWB Michigan, LLC.
Red White & Bloom is now officially a fully licensed and integrated seed-to-sale medical and adult-use cannabis player in Michigan, a top U.S. cannabis market, which boasted 2021 total sales of USD $1.79 billion. The company also announced it has expanded its Michigan operation to 180 employees.
Speaking on the company’s milestone acquisition, Red White & Bloom Chairman & CEO Brad Rogers stated:
In total, the PharmaCo deal saw RWB acquire the following:
- Eight fully operating dispensaries (five dually licensed);
- Two operational indoor cultivation facilities totalling over 30,000 sq. ft.;
- One municipally licensed 10-acre outdoor cultivation facility operationally ready for 2022 season;
- Two ready-to-open dispensaries; and
- 22 owned properties for potential additional cultivation and dispensary locations.
Following up on his remarks, Rogers continued:
The PharmaCo acquisition expands Red White & Bloom’s footprint in Michigan beyond its Warren manufacturing facility and industry-leading Platinum Vape brand.
RWB now owns and operates the following Michigan assets:
Dispensaries:
- Five & Dime – Detroit
- Shake & Bake – Detroit
- Motown Meds – Detroit
- Remedii Natural Health, Bay City – Bay City
- Dank on Arrival – Bay City
- Remedii Natural Health, Battle Creek – Battle Creek
- The Remedii Station – Vassar
- Remedii Natural Health Stateline – Morenci
- Plus two additional dispensary locations that are fully built out and ready to open
Cannabis Cultivation:
- Two indoor cultivation facilities – Glendale and Marquette
- A 10-acre outdoor cultivation site – Au Gres
Additional Assets:
- Multiple assets for expansion of RWB’s dispensary and cultivation footprint.
Please click here to access the location information for all of Red White & Bloom’s newly acquired assets.
Acquisition Details
Consideration for the transaction includes the issuance of 37 million units of RWB. Each unit consists of one common share and one series 2 convertible preferred share in RWB. Each Series 2 Preferred Share shall be convertible, per the formula as set out in the terms in RWB’s articles, at any time or times before April 24, 2022. The Series 2 Preferred shares are subject to a voluntary lock-up until January 1, 2023. The Units were issued at a deemed price of CDN$0.90 per unit.
In addition, RWB has converted $30 million of previously advanced loans to PharmaCo into preferred shares in PharmaCo issued to RWB Michigan immediately before closing. Upon issuance, RWB Michigan will hold 100% of the ownership of PharmaCo.
PharmaCo Debt Holders Settlement
RWB has entered into agreements with certain creditors of PharmaCo for the settlement of an aggregate of CDN$4,048,000 of indebtedness through the issuance of 4,024,000 Units. The Series 2 Preferred Shares are subject to a voluntary lock-up until January 1, 2023. All shares issued in connection with the debt settlement will be subject to a hold period of four months and one day for Canadian holders and subject to applicable restrictions under Rule 144 for U.S. holders. The debt settlement is expected to close in the coming days.
RWB Grants Options & Performance-Based Restricted Stock
Certain officers, directors, employees and advisors have been issued an aggregate of 500,000 stock options at $0.50 per share and 1,250,000 performance-based restricted stock units with various vesting periods.
Learn more about Red White & Bloom: Website | Investor Deck | RWB Chart
With U.S. Pot Stocks the Hot Theme of 2021, Here’s Why Red White & Bloom Could Be One of the Cannabis Sector’s Top Performers
Follow TCI on Social Media: Facebook | Instagram | Twitter | LinkedIn | Investor Group
Follow Psychedelic Profits on Social Media: Facebook | Twitter | LinkedIn | Investor Group
Get Your Copy of The Ultimate Cannabis Investing Guide
Join the Discussion in the TCI Investor Group
Red White & Bloom is a paid client of The Cannabis Investor. The Cannabis Investor holds a position in RWB.
This report/release/profile is a commercial advertisement and is for general information purposes only. We are engaged in the business of marketing and advertising companies for monetary compensation unless otherwise stated below.
Read More:
Featured ArticlesCannabis Stock NewsCannabis Industry ArticlesTechnical Analysis ArticlesWatch Cannabis Stock Videos
The Cannabis Investor is a leading media outlet for Cannabis investment opportunities and breaking industry news. TCI is focused on uncovering paradigm-shifting marijuana stocks and reporting on the evolving cannabis value chain.
Join Our Text Message List: Text 'POTSTOCKS' to 1-833-681-1622
The post Red White & Bloom Closes Blockbuster Michigan PharmaCo Acquisition appeared first on The Cannabis Investor.
psychedelic red white bloom-
Psilocybin1 week ago
Are Shrooms Legal in Oregon: Full Guide
-
Psychedelics1 week ago
Atai Life Sciences Announces the Publication of Beckley Psytech’s Phase 1 Study of BPL-003 in the Journal of Psychopharmacology
-
Law & Regulation1 week ago
Clearmind signs agreement with Hebrew University for psychedelic compound rights
-
Psilocybin7 days ago
California advances bill for psychedelics centers
-
Psychedelics1 week ago
Revive Therapeutics Announces FDA Acceptance of Meeting Request for Long COVID Diagnostic Product
-
Psychedelics7 days ago
Psychedelics Can Offer More Than Therapy On Its Own
-
Psilocybin3 days ago
Passover Perspectives: Psychedelics, Moses, and the Burning Bush
-
Psychedelics1 week ago
Cybin Announces Publication of Research Manuscript in the Journal of Medicinal Chemistry