MJardin Group Expands In Nevada
Strategic transaction to enhance existing cannabis asset and add to
MJardin’s growing North American flagship footprint
DENVER–(BUSINESS WIRE)–MJardin Group (“MJardin” or the “Company”), a leader in North
American cannabis facility management, today announced that the Company
has completed a strategic acquisition with F&L Investments LLC, the sole
member of GreenMart of Nevada LLC, a state-of-the-art licensed cannabis
cultivation entity based in Las Vegas (the “Acquisition”). The
Acquisition represents MJardin’s inaugural flagship asset in Nevada for
a combined consideration of cash and stock of approximately $22 million.
In connection with the Acquisition, MJardin has acquired a four-acre
site containing two existing cultivation facilities, located in
northeastern Las Vegas. One facility is currently operational and the
second is expected to be operational by January 2019. At full capacity
the two facilities can produce over 10,000 pounds (4,500 kilograms) of
finished flower product annually through MJardin’s turnkey cannabis
management system.
MJardin has plans to develop on-site extraction and packaging
capabilities for innovative brands and product sets for the Nevada
market. The Company is also negotiating supply agreements with various
dispensary clients and will continue to pursue strategic opportunities
in Nevada and other states.
“Our strategic transaction expands MJardin’s exposure to the promising
Nevada market, which attracts nearly 43 million visitors annually,” said
Joann Bailey, President of MJardin. “While MJardin has maintained
service agreements in Nevada for years, this transaction provides us
with a flagship location whereby we own the physical asset and can
significantly expand its capabilities through MJardin’s proven cannabis
management team.”
A highly-experienced cannabis company, MJardin-managed facilities have
collectively produced and sold more than 100,000 kg of cannabis to date.
The Company has a proven track record of operational excellence in 13
U.S. states, Canada and Australia, having designed and planned more than
100 legal cannabis facilities since inception with 30+ licensed
facilities currently under management.
The Acquisition is comprised of a number of components, including a
membership interest purchase agreement which is subject to a number of
closing conditions including the receipt of regulatory approval by the
Nevada Department of Taxation, and if applicable, other municipal
authorities. There can be no assurance that the Department or the
applicable municipal authorities will approve the contemplated
investment. If certain regulatory approvals are not obtained, MJardin
and F&L Investments have the right to terminate the Acquisition.
About MJardin Group
MJardin Group is a highly specialized professional management company
that develops partnerships with licensed operators. MJardin provides its
partners turnkey cannabis cultivation, processing and retail solutions
including licensure support, facility design, systems implementation,
facility ramp-up and the day-to-day operational management required in a
large-scale, professionally managed cannabis facility. MJardin is
headquartered in Denver, Colorado with an additional office in Toronto,
Ontario. For more information, please visit www.MJardin.com
Forward-Looking Information
This press release contains certain forward-looking statements within
the meaning of applicable securities laws. Any statements that are
contained in this news release that are not statements of historical
fact may be deemed to be forward-looking statements. Forward-looking
statements are often identified by terms such as “expects”,
“anticipates”, “believes”, “plans”, “projections”, “outlook”, “intends”,
“may”, “could”, “would”, “might”, “will” and similar expressions or the
negative of these terms and similar expressions. Forward-looking
statements in this news release include, but are not limited to,
expectations related to the Acquisition and the Company’s future
expansion and growth strategies. Forward looking statements necessarily
involve known and unknown risks, including, without limitation, risks
associated with general economic conditions; adverse industry events;
marketing costs; loss of markets; future legislative and regulatory
developments involving cannabis; income tax and regulatory matters; the
ability of MJardin to implement its business strategies; the obtaining
of any regulatory approvals; competition; currency and interest rate
fluctuations and other risks. Readers are cautioned that the foregoing
list is not exhaustive. By their very nature, forward looking statements
involve numerous assumptions, inherent risks and uncertainties, both
general and specific, and the risk that predictions and other forward
looking statements will not prove to be accurate. Readers are further
cautioned not to place undue reliance on forward-looking statements as
there can be no assurance that the plans, intentions or expectations
upon which they are placed will occur. Such information, although
considered reasonable by management at the time of preparation, may
prove to be incorrect and actual results may differ materially from
those anticipated. Forward-looking statements contained in this news
release are expressly qualified by this cautionary statement.
Contacts
Media:
ICR
Cory Ziskind, 646-277-1232
cory.ziskind@icrinc.com
or
Investors:
ICR
Scott
Van Winkle, 617-956-6736
scott.vanwinkle@icrinc.com
