Ascend Wellness Holdings Expands Vertically Integrated Footprint in Ohio
-Closes previously signed acquisition of dispensary in
-Enters into definitive agreement to acquire dispensary in
- Completed the acquisition of
BCCO, LLC("BCCO"), which operates a medical dispensary in Carroll, Ohio, and
- Entered into definitive agreement to acquire
Ohio Cannabis Clinic, LLC("OCC"), which operates a medical dispensary in Coshocton, Ohio.
"We are thrilled to officially expand our vertically integrated footprint in the rapidly maturing
Current AWH Ohio Footprint
Carroll, OHmedical dispensary, currently operating under the Ohio Provisions retail brand and is located approximately 25 miles southeast of Columbus. Coshocton, Ohiodispensary, which is pending close and currently operating under the Ohio Cannabis Companybrand and is 77 miles northeast of Columbus. Monroe, OHcultivation facility, which closed in May 2021, and affords the Company the opportunity to expand cultivation capacity. Monroe, OHprocessing facility, the Company previously entered into an agreement with Marichron Pharma, LLCand intends to submit the transaction for state approval once permitted to under state regulations.
- Together these assets provide the Company with cultivation, processing, and dispensary assets in the state. AWH intends to migrate both the Ohio Provisions and the Ohio Cannabis Company brands over to the AWH brand by year-end. Additionally, the Company continues to look to expand to the state imposed 5 dispensary cap limit.
Market & Rationale
Ohiois the seventh largest state in the U.S.with a population of approximately 11.8 million residents.
- The medical cannabis program was legalized in 2016 and according to the Ohio Medical Marijuana Control Program, as of
July 2021, the market is made up of 53 operating dispensaries and 27 operating cultivators and the program allows for up to 40 processors.
- In 2020, the legal medical market in
Ohiosaw $200 millionin sales and it is estimated to reach approximately $600 millionin 20251.
- Jefferies estimates that 2020 legal and illicit market sales reached approximately
$2.7 billion, making Ohiothe 3rd largest market that is only legalized for medical2.
1 8th Edition, The State of the Legal Cannabis Markets,
2 "Initiate on US Cannabis: Generational Wealth Opportunity, Avg. Upside >100%", Jefferies,
AWH is a vertically integrated operator with assets in
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