Schwazze (OTCQX:SHWZ) has closed the transaction to acquire the assets of Brow 2, LLC, located in Denver, Colorado.
Deal Details
The planned transaction includes a 37,000 square foot building and equipment designed for indoor cultivation.
The consideration for the acquisition was $6.7 million and was paid in cash at closing.
Why It Matters?
This transaction continues Schwazze's aggressive expansion in Colorado and will enhance its cultivation capabilities, providing product directly to its dispensaries.
"This is another step in building operational depth and capabilities in Colorado for Schwazze,” Justin Dye, Schwazze's CEO, said. “This acquisition will add a talented team of growers, high-quality indoor flower cultivation capacity, new strain genetics, and another profitable asset to our platform. The new facility will supply our growing network of dispensaries and customers with a broad assortment of high-quality indoor flower."
Corporate Update
Late in 2021, Schwazze announced a transformational $95 million raise with institutional investors and individuals, allowing the expedition of its aggressive expansion plans and become a regional MSO with operations in Colorado and New Mexico.
Since December 2021, Schwazze has completed five acquisitions adding a total of 15 cannabis dispensaries, including Smoking Gun, Drift, Emerald Fields, and the ten Greenleaf New Mexico dispensaries.
Since July 2021, the company has acquired a total of six cultivation facilities, two in Colorado including, SCG Holding LLC, and Brow 2 LLC as well as and four licensed in New Mexico. The Greenleaf New Mexico acquisition also added a manufacturing asset, Elemental Kitchen & Laboratories, LLC to the company's Purplebee's manufacturing plant in Colorado.
Photo: Courtesy of Ryan Lange on Unsplash
