MedMen Completes Previously Announced Acquisition of Illinois Dispensary
MedMen Enterprises Inc. (“MedMen” or the “Company”) (CSE: MMEN) (OTCQX: MMNFF) (FSE: A2JM6N) is pleased to announce that it has
closed its previously announced acquisition (the “Acquisition”) of Seven Point, a licensed medical cannabis dispensary located in
the historic Chicago suburb of Oak Park, Illinois.
Pursuant to the Acquisition, the Company paid a combination of cash at closing, deferred cash and subordinate voting shares of
MedMen, for an undisclosed total amount.1
With the closing of the Acquisition and following the completion of the pending acquisition of PharmaCann, LLC, MedMen will be
licensed for five medical-use cannabis dispensaries in Illinois. Seven Point is located in a high foot traffic shopping district
among popular restaurants, cafes and major retailers like Whole Foods, The Gap and Pier 1.
MedMen’s Expanding National Footprint and Operational Status
MedMen continues to bring assets online with the number of operational retail locations now at 18 with the addition of this
license.
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State |
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Retail |
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Cultivation/Manufacturing |
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Stores Permitted Under Licenses |
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Currently Operational Stores2
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Licenses for Facilities3
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MedMen |
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PharmaCann |
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MedMen |
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PharmaCann |
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MedMen |
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PharmaCann |
Arizona |
|
3 |
|
0 |
|
1 |
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0 |
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X |
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California |
|
12 |
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0 |
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9 |
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0 |
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X |
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Florida |
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30 |
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0 |
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0 |
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0 |
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X |
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Illinois |
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1 |
|
4 |
|
1 |
|
4 |
|
|
|
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X |
Maryland |
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0 |
|
1 |
|
0 |
|
1 |
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Massachusetts |
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0 |
|
3 |
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0 |
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1 |
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X |
Michigan |
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1 |
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1 |
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0 |
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0 |
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Nevada |
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3 |
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0 |
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3 |
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0 |
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X |
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New York |
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4 |
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4 |
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4 |
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4 |
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X |
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X |
Ohio |
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0 |
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1 |
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0 |
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0 |
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X |
Pennsylvania |
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0 |
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9 |
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0 |
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0 |
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X |
Virginia |
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0 |
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1 |
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0 |
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0 |
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X |
TOTAL: |
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54 |
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24 |
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18 |
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10 |
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TOTALS COMBINED: |
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78 |
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28 |
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1. The Company does not disclose deal values for transactions it deems immaterial from a purchase price standpoint.
2. Includes three “Powered by MedMen” stores - stores not yet MedMen rebranded but owned by the Company. Also, includes three
stores managed by MedMen but not owned by the Company.
3. Facilities noted in the chart include operational and licensed non-operational facilities. Facilities are licensed for either
cultivation or manufacturing operations and in certain instances for mixed-use (cultivation and manufacturing) as permitted by
local regulatory authorities.
4. The chart above includes licenses expected to be acquired through the announced PharmaCann transaction and other pending
transactions, and those acquired in recently closed acquisitions. Through the acquisition of PharmaCann, MedMen will own an
additional twenty-five licenses across 12 states (permitting operation of an additional 24 retail facilities and 7
cultivation/manufacturing facilities). Those 12 states comprise approximately 50% of the total U.S. population.
ABOUT MEDMEN:
MedMen is a cannabis retailer with operations across the U.S. and flagship stores in Los Angeles, Las Vegas and New York.
MedMen’s mission is to provide an unparalleled experience that invites the world to discover the remarkable benefits of cannabis
because a world where cannabis is legal and regulated is a safer, healthier and happier world. Learn more at
www.medmen.com.
SOURCE: MedMen Enterprises
Cautionary Note Regarding Forward-Looking Information and Statements
This press release contains “forward-looking statements” and “forward-looking information” within the meaning of applicable
securities laws (collectively, “forward-looking information”) with respect to the Company, including, but not limited to:
information concerning the completion of the contemplated business combination with PharmaCann, LLC, expectations regarding whether
the contemplated acquisition will be consummated, including whether conditions to the consummation of the proposed acquisition will
be satisfied and whether the proposed acquisition will be completed on the current terms, the timing for completing the proposed
acquisition, expectations for the effects of the proposed acquisition, including the potential number and location of facilities
and stores or licenses therefor to be acquired, expectations regarding the markets to be entered into by or expansion in current
markets by the Company as a result of completing such proposed acquisition, the ability of the Company to successfully achieve its
business objectives as a result of completing the contemplated acquisition, estimates of future cultivation, manufacturing and
extraction capacity, estimates of future revenue or revenue growth (and the method by which such future revenue is generated),
store related forecasts, including as to number of planned stores to be opened in the future, and any other statement that may
predict, forecast, indicate or imply future plans, intentions, levels of activity, results, financial position, operational or
financial performance or achievements. Such forward-looking information involves known and unknown risks, uncertainties and other
factors which may cause the actual plans, intentions, activities, results, financial position, performance or achievements of the
Company to be materially different from any future plans, intentions, activities, results, financial position, performance or
achievements expressed or implied by such forward-looking information. Often, but not always, forward-looking information can be
identified by the use of words such as “plans,” “expects,, “is expected,” “budget,” “scheduled,” “estimates,” “forecasts,”
“intends,” “anticipates,” will,” “projects” or “believes” or variations (including negative variations) of such words and phrases,
or statements that certain actions, events, results or conditions “may,” “could,” “would,” “might” or “will” be taken, occur or be
achieved. Except for statements of historical fact, information contained herein constitutes forward-looking information.
Forward-looking information is not a guarantee of future performance and is based upon a number of estimates and assumptions of
management at the date the statements are made including among other things assumptions about: the contemplated acquisition being
completed on the current terms and current contemplated timeline; development costs remaining consistent with budgets; favorable
equity and debt capital markets; the ability to raise sufficient capital to advance the business of the Company; favorable
operating conditions; political and regulatory stability; obtaining and maintaining all required licenses and permits; receipt of
governmental approvals and permits; sustained labor stability; stability in financial and capital goods markets; favorable
production levels and costs from the Company’s operations; the pricing of various cannabis products; the level of demand for
cannabis products; and the availability of third party service providers and other inputs for the Company’s operations. While the
Company considers these assumptions to be reasonable, the assumptions are inherently subject to significant business, social,
economic, political, regulatory, competitive and other risks and uncertainties, contingencies and other factors that could cause
actual performance, achievements, actions, events, results or conditions to be materially different from those projected in the
forward-looking information. Many assumptions are based on factors and events that are not within the control of the Company and
there is no assurance they will prove to be correct.
Furthermore, such forward-looking information involves known and unknown risks, uncertainties and other factors which may cause
the actual plans, intentions, activities, results, financial position, performance or achievements of the Company to be materially
different from any future plans, intentions, activities, results, financial position, performance or achievements expressed or
implied by such forward-looking information. Such factors include, among others: the ability to consummate the proposed
acquisition; the ability to obtain requisite regulatory approvals and third party consents and the satisfaction of other conditions
to the consummation of the proposed acquisition on the proposed terms and schedule; the potential impact of the announcement or
consummation of the proposed acquisition on relationships, including with regulatory bodies, employees, suppliers, customers and
competitors; the diversion of management time on the proposed acquisition; risks relating to cannabis being illegal under US
federal law and risks of federal enforcement actions related to cannabis; negative changes in the political environment or in the
regulation of cannabis and the Company’s business; risks relating to lack of banking providers and characterization of the
Company’s revenue as proceeds of crime as a result of anti-money laundering laws and regulation; the costs of compliance with and
the risk of liability being imposed under the laws the Company operates under including environmental regulations; negative shifts
in public opinion and perception of the cannabis industry and cannabis consumption; risks that service providers may suspend or
withdraw services; the limited operating history of the Company; reliance on the expertise and judgement of senior management of
the Company; increasing competition in the industry; risks related to financing activities, including leverage; risks related to
the management of growth; increased costs related to the Company becoming a publicly traded company; risks inherent in an
agricultural business; adverse agricultural conditions impacting cannabis yields; risks relating to rising energy costs; risks of
product liability and other safety related liability as a result of usage of the Company's cannabis products; negative future
research regarding safety and efficacy of cannabis and cannabis derived products; risk of shortages of or price increases in key
inputs, suppliers and skilled labor; a lack of reliable data on the medical and adult-use cannabis industry; loss of intellectual
property rights or protections; cybersecurity risks; constraints on marketing products; fraudulent activity by employees,
contractors and consultants; tax and insurance related risks; risk of litigation; conflicts of interest; compliance with extensive
government regulation; changes in general economic, business and political conditions, including changes in the financial markets;
as well as those risk factors discussed in the Company’s Annual Information Form filed on SEDAR at
www.sedar.com on November 2, 2018 and discussed in the Company’s other public filings available on SEDAR. Although the Company
has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that
cause results not to be as anticipated, estimated or intended. There can be no assurance that such forward-looking information will
prove to be accurate as actual results and future events could differ materially from those anticipated in such information.
Accordingly, readers should not place undue reliance on forward-looking information. Forward-looking information is provided and
made as of the date of this press release and the Company does not undertake any obligation to revise or update any forward-looking
information other than as required by applicable law.
OFFICER CONTACT:
Adam Bierman
Chief Executive Officer
Email: info@medmen.com
(833) 633-6362
MEDIA CONTACT:
Briana Chester
Director of Public Relations
Email: briana.chester@medmen.com
(424) 888-4260
INVESTOR RELATIONS CONTACT:
Stéphanie Van Hassel
Head of Investor Relations
Email: investors@medmen.com
(323) 705-3025
View source version on businesswire.com: https://www.businesswire.com/news/home/20190208005081/en/