DENVER,
Feb. 16, 2022 – PRESS RELEASE – Schwazze announced that it has
closed the transaction to acquire the assets of Denver-based Brow 2 LLC. The
planned transaction includes a 37,000-square-foot building and equipment
designed for indoor cultivation. This transaction continues Schwazze's
aggressive expansion in Colorado and will enhance the company's cultivation
capabilities, providing product directly to its dispensaries. The
consideration for the acquisition was $6.7 million and was paid in cash at
closing.
"This
is another step in building operational depth and capabilities in Colorado for
Schwazze,” company CEO Justin Dye said. “This acquisition will add a talented
team of growers, high-quality indoor flower cultivation capacity, new strain
genetics, and another profitable asset to our platform. The new facility will
supply our growing network of dispensaries and customers with a broad
assortment of high-quality indoor flower."
Corporate
Update
Late
in 2021, Schwazze announced a transformational $95-million raise with
institutional investors and individuals, allowing the company to expedite its
aggressive expansion plans and become a regional MSO with operations in
Colorado and New Mexico. The company's differentiated strategy is to build
a leadership position in retail and operational depth within its operating
areas.
Since
December 2021, Schwazze has completed five acquisitions adding a total of 15
cannabis dispensaries, including Smoking Gun (December 2021); Drift (February
2022); Emerald Fields (February 2022); and the 10 Greenleaf New Mexico
dispensaries (February 2022).
Since
July 2021, the company has acquired a total of six cultivation facilities, two
in Colorado, including SCG Holding LLC (July 2021); and Brow 2 LLC (February
2022)—and four licensed in New Mexico (February 2022). The Greenleaf New
Mexico acquisition also added a manufacturing asset, Elemental Kitchen &
Laboratories LLC, to the company’s Purplebee's manufacturing plant in Colorado.
The
company continues to evaluate merger-and-acquisition transactions that meet its
strategic screening criteria.
