HUGE NEWS TODAY Vireo Growth Inc (C-VREO) - News Release
Vireo arranges $75M financing; to acquire 4 pot firms
2024-12-18 10:04 ET - News Release
Shares issued 108,161,130
VREO Close 2024-12-17 C$ 0.36
Dr. Kyle Kingsley reports
VIREO GROWTH INC. ANNOUNCES $75 MILLION FINANCING AND ACQUISITIONS OF FOUR SINGLE STATE OPERATORS
Vireo Growth Inc. has executed definitive documentation with certain investors in connection with a $75-million equity securities offering at 62.5 cents per Vireo subordinate voting share, with closing subject only to applicable Canadian Securities Exchange notice periods. Additionally, Vireo has signed three definitive documents and one binding memorandum of understanding (MOU) to acquire four single-state operators for total consideration of approximately $397-million in a series of all-stock transactions (collectively, the merger transactions).
Highlights:
- $75-million equity financing at 62.5 cents per Vireo share will result in combined new entity having an industry-leading balance sheet;
- Transactions would expand Vireo's operating footprint to seven states, nine cultivation facilities and 48 dispensaries;
- Combined new entity would have an estimated 2024 pro forma revenue and EBITDA (earnings before interest, taxes, depreciation and amortization) of approximately $394-million and $94-million, respectively;
- Transaction includes proprietary Arches technology platform with demonstrated success driving legal market share;
- John Mazarakis named chief executive officer and co-executive chairman and Tyson Macdonald named chief financial officer, effective immediately;
- Amber Shimpa will continue to serve as president of the company and as chief executive officer of Minnesota, Maryland and New York.