Canada-based MPX Bioceutical Corporation has received final approval from both state and municipal regulators to acquire GreenMart of Nevada in a deal worth $17.81 million. GreenMart, based in Las Vegas, holds cultivation, production, and wholesaler licenses.
The GreenMart North Las Vegas facility is expected to produce approximately 1.6 million grams of flower and 85,000 grams of MPX concentrates in 2018. The business intends to apply for two Las Vegas-area dispensary licenses which will operate under the “Health for Life” brand.
“Acquiring GreenMart gives us a meaningful head start towards establishing market share in the new adult use market in Nevada which is estimated to grow to $630 million by 2020. We are encouraged by the strong demand we are seeing in the Nevada market, and we anticipate that the addition of this Las Vegas enterprise will be materially accretive to MPX revenues and earnings in 2018.” – MPX Chairman and CEO Scott Boyes in a press release.
Brightfield Group ranks Nevada as the fourth best state to make cannabis investments. ArcView Market Research projects the state market is expected to grow at a compound annual growth rate of 51 percent.
This is the second Canadian firm to enter the U.S. market in the last month as CannaRoyalty announced in late November that they agreed to acquire California cannabis companies Kaya Management Inc. and Alta Supply Inc.