TerrAscend Corp. TRSSF TER and Gage Growth Corp. GAGE GAEGF is closing its previously announced acquisition of Gage on March 10, 2022, subject to satisfaction or waiver of all remaining closing conditions.
Upon completion of the transaction, TerrAscend will have an expanded footprint with owned and managed operations in California, Michigan, Maryland, New Jersey, Pennsylvania and Canada.
"This is a defining moment for TerrAscend as we combine two leading vertically integrated operators with proven cultivation and manufacturing expertise, deep portfolios of proprietary flower strains, and top-selling brands across our core markets," stated Jason Wild, executive chairman of TerrAscend. "I look forward to working with the talented Gage team as we integrate and align our cultivation, retail, and operational practices to continue providing our patients and customers with best-in-class product offerings and retail experiences."
The transaction provides access to Gage's sought-after brand and pheno-hunting capabilities as well as its exclusive licensing partnerships in Michigan with Cookies, Blue River, Pure Beauty, Khalifa Kush and others.
The combined company's retail network is expected to reach 40 stores by the end of 2022. This includes 25 currently functioning dispensaries across five states with Gage managing 11 dispensaries in Michigan and a Cookies dispensary in Canada, in addition to TerrAscend's 13-store footprint in key markets like California, New Jersey and Pennsylvania.
Gage's $72.3 million pro forma cash position, which includes gross proceeds from its recently closed $55 million senior secured debt financing, combined with TerrAscend's $103 million cash balance as of September 30, 2021, enables the combined company to execute on its growth plans.
TerrAscend Corp. executive chairman Jason Wild will be one of the speakers at the Benzinga Cannabis Capital Conference in Miami. There’s still time to sign up for the event that will host many top names in the cannabis industry. Click here for more info.
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