Massachusetts-based marijuana multistate operator MariMed has closed on its $11 million acquisition of First State Compassion Center in Delaware.
The deal, originally inked in July 2023, includes two medical cannabis dispensaries as well as cultivation and processing facilities, according to a Monday news release.
The omnibus agreement between the two companies, according to regulatory filings and marketing materials, was predicated on two factors:
- Delaware legalizing adult-use sales, which occurred in April 2023.
- State approval of converting First State Compassion Center (FSCC) from a nonprofit to a for-profit enterprise. That move happened Friday, MariMed confirmed to MJBizDaily.
The companies have been working together since 2014, when FSCC was the first recipient of an MMJ dispensary license in Delaware.
MariMed said it has provided management and real estate services for FSCC since then.
FSCC has distributed MariMed brands in the state, including Betty’s Eddies fruit chews, Vibations drink mix and Nature’s Heritage flower.
“We have worked closely with FSCC’s incredible team to support its growth trajectory from the very beginning,” MariMed CEO Jon Levine said in a released statement.
“We expect by fully integrating its operations, we will further build FSCC’s and our brands’ dominance in the market, while also improving our balance sheet.”
The FSCC acquisition adds to MariMed’s ongoing roll-up strategy, which included acquisitions in Maryland, Massachusetts and Illinois.
MariMed trades as MRMD on the Canadian Securities Exchange and the over-the-counter markets.
Medical Disclaimer:
The information provided in these blog posts is intended for general informational and educational purposes only. It is not a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of your physician or other qualified healthcare provider with any questions you may have regarding a medical condition. The use of any information provided in these blog posts is solely at your own risk. The authors and the website do not recommend or endorse any specific products, treatments, or procedures mentioned. Reliance on any information in these blog posts is solely at your own discretion.
