Jushi Purchases Vireo Assets In Pennsylvania For $5M
Minneapolis-based Vireo opted to sell its equity in Pennsylvania Dispensary Solutions LLC to Jushi for $5 million in cash.
The deal comes just months after Jushi paid $37 million for Vireo's Pennsylvania Medical Solutions LLC.
Viro chair and CEO Kyle Kingsley said the deal strengthens the company balance sheet and "focuses our existing operations on our core markets.”
“We remain committed to being strong stewards of capital for our shareholders while executing against our growth and profitability initiatives,” he added.
Pennsylvania Dispensary Solutions has a permit to run up to three medical cannabis dispensaries in the northeast region of the Keystone State, including stores in Scranton and Bethlehem and the dispensary in Stroud Township, which is currently under development.
Under the deal, Jushi has an 18-month option to purchase the assets.
According to its latest earnings report, Vireo’s total revenue was $12.2 million for the second quarter, up by 70% compared to the same period last year. In addition, its retail revenue rose 46% year-over-year, amounting to $9.2 million for the period.
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