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High-end marijuana retailer MedMen just spent $682 million on the largest US cannabis acquisition in history

Oct 11, 2018, 20:35 IST

Daniel Yi, Senior Vice President of Corporate Communications, MedMenSarah Jacobs/Business Insider

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  • MedMen, one of the booming cannabis industry's most recognizable brands, acquired medical marijuana retailer PharmaCann in a $682 million stock transaction, the companies announced on Thursday.
  • It's the largest cannabis acquisition in the US to date.
  • The acquisition gives the combined firm access to 79 retail and cultivation licenses in 12 states.

MedMen, one of the most recognizable brands in the rapidly expanding cannabis industry, acquired the medical marijuana dispensary chain PharmaCann in a $682 million all-stock transaction.

It's the largest cannabis acquisition in the US to date.

Based in Los Angeles, MedMen has 14 high-end marijuana dispensaries - which some have compared to Apple Stores - in California, Nevada, and New York. It's publicly listed on the Canadian Securities Exchange.

The brand has positioned its stores on some of the world's trendiest shopping streets. There are locations on Venice Beach's Abbot Kinney Boulevard, the Las Vegas Strip, and New York's Fifth Avenue.

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The PharmaCann acquisition nearly doubles MedMen's footprint in the US. The Illinois-based firm operates 10 facilities across the Midwest, including in Michigan, which is set to vote on legal marijuana on November 6th.

The combined company will have a portfolio of 79 cannabis licenses across 12 states, including 66 retail stores and 13 cultivation licenses, according to the company.

"This is a transformative acquisition that will create the largest U.S. cannabis company in the world's largest cannabis market," MedMen CEO Adam Bierman said in a statement.

"This would not have been possible even two years ago and is a testament to how far both the industry and these two companies have evolved," he added.

Read more of our cannabis industry coverage:

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