MariMed Inc. completed the acquisition of Operating Assets of Ermont, Inc. for $13 million.
March 08, 2023
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MariMed Inc. (OTCPK:MRMD) intends to acquire Operating Assets of Ermont, Inc. on February 21, 2023. The acquisition is subject to approval by the Massachusetts Cannabis Control Commission. There is no assurance when, or if, the CCC will approve the acquisition. The transaction is also subject to court approval. As of March 9, 2023, court approval and CCC were provided. Erica Rice and Kevin Conroy of Foley Hoag LLP acted as legal advisor to MariMed. Opus Consulting was represented by John Morrier and Michael Fencer of Casner & Edwards, LLP. Ermont?s senior secured creditor, Teneo Funds SPVi, LLC was represented by Burns & Levinson LLP partners Frank Segall and Scott Moskol.
MariMed Inc. (OTCPK:MRMD) completed the acquisition of Operating Assets of Ermont, Inc. for $13 million on March 9, 2023. As consideration for the Ermont Acquisition, which totaled $13 million, the Company paid $3 million of cash, issued 6,580,390 shares of the Company's common stock, and issued a $7 million promissory note. The Ermont Note has a six-year term and bears interest at 6.0 % per annum, with payments of interest-only for two years and thereafter, quarterly payments of principal and interest in arrears. The outstanding balance on the Ermont Note is due and payable in full if and when the Company raises $75 million of equity capital. As of November 9, 2023 which totaled $10.56 million, the Company paid $3 million of cash, issued 2,994,000 shares of the Company's common stock, and issued a $4.57 million promissory note.
MariMed Inc. is a multi-state cannabis operator in the United States. The Company develops, owns, and manages seed to sale regulatory-compliant facilities for the cultivation, production, and dispensing of medicinal and adult-use cannabis. Its products include whole flowers, pre-rolled flowers, vape cartridges, concentrates, and edibles. The Companyâs Natures Heritage brand is a premium brand of cannabis flower and concentrates. Its Bettys Eddies brand is a cannabis supplement and nutrient-infused fruit chew that delivers better sleep, pain relief, stress relief, and more. Its Bubbys Baked brand is a soft and chewy baked goods and a hot chocolate mix. Its Vibations brand is a cannabis-infused hydrating drink mix for discrete. The Companyâs Kalm Fusion and K Fusion are chewable cannabis-infused mint tablets and InHouse is a brand of flower, vapes, and edibles. The Companyâs Community Wellness & Compassionate Care Center, Inc. (Medleaf) is located in Prince George's County, Maryland.