PHOENIX, Nov. 16, 2020 /PRNewswire/ -- PRESS RELEASE -- Harvest Health & Recreation Inc., a vertically integrated cannabis company and multi-state operator in the U.S., has completed the divestiture of its dispensary and cultivation assets in Arkansas.
Natural State Wellness Dispensary, LLC and Natural State Wellness Enterprises, LLC, which own and operate a medical dispensary and cultivation facility, were sold on Friday, Nov. 13, 2020. The total purchase price paid by the buyer was $25 million. Following repayment of approximately $1.9 million in loans associated with the assets, the portion of net proceeds received by Harvest for its interests totaled approximately $12.9 million in cash. Harvest retains ownership of the real estate for the dispensary and cultivation facilities.
"We are pleased to have completed this divestiture as part of our strategic plan to streamline our business and focus on core markets," said Chief Executive Officer Steve White. "The additional cash on our balance sheet adds flexibility at a time when we are pursuing growth opportunities such as recreational sales in Arizona."
Following the completion of this divestiture, Harvest maintains its 2020 guidance of greater than $225 million in revenue.