MedMen sold the entirety of its Florida holdings to Green Century Holdings LLC, according to a press release published Monday. In the $83 million cash deal, Green Century will take over MedMen’s Florida license, dispensaries, inventory, and growing facilities, the release says.
Michael Serruya, MedMen’s chairman and interim CEO, said the deal is part of the company’s “go-forward strategy” that envisions MedMen operating an “asset-light model” that enables the firm “to leverage the power and strength of the MedMen brand.”
In addition to their license and physical assets, the deal includes a marketing agreement in which MedMen will license their trademarks for a quarterly revenue-based fee. The deal is expected to close in late April and early May, barring any regulatory setbacks.
“We feel confident this model will deliver strong financial results and opportunities for growth across many states and will continue to identify trademark licensing opportunities that will introduce the MedMen brand and retail experience to other markets across the United States and internationally.” – Serruya in a statement.
MedMen recently closed a $75 million deal to sell their New York assets but later filed a lawsuit claiming the buyer, Ascend Wellness, used their influence with New York Gov. Kathy Hochul’s (D) office to get the deal approved by regulators after the transaction appeared to have stalled. MedMen had agreed to sell their New York holdings to Ascend Wellness a year earlier.
MedMen eventually withdrew the allegations claiming Ascend had tried to influence officials.
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