Acquisition would establish General Cannabis as one of the largest publicly traded cannabis operators in Colorado
DENVER, May 28, 2020 (GLOBE NEWSWIRE) — General Cannabis Corp (OTCQX: CANN), a company with extensive experience in providing services to the cannabis industry, announced today that the State of Colorado’s Marijuana Enforcement Division (the “MED”) has granted it regulatory approval to complete the acquisition of Cannasseur, subject to approval by local regulators. Cannasseur is a vertically integrated Colorado licensee with a recreational dispensary, an oil extraction facility, and a 12,000 square foot light deprivation greenhouse cultivation facility in Pueblo West, Colorado. The acquisition, upon completion, would increase General Cannabis’ revenue, EBITDA and cash flow.
“This is another important announcement in the implementation of our Colorado roll-up strategy,” said Steve Gutterman, Chief Executive Officer. “Following on the closing earlier this month of our SevenFive Farms acquisition, we believe the completion of this transaction would establish General Cannabis as one of the largest publicly traded Colorado cannabis operators in terms of revenue. Our team has done a fantastic job in navigating the new Colorado regulatory environment.”
General Cannabis Corp already operates Next Big Crop (“NBC”) and SevenFive Farm. NBC is a full-service cannabis consulting firm with expertise in the application, design, buildout and operation of cultivation facilities. SevenFive Farm is a light deprivation greenhouse cultivation facility in Boulder, Colorado. The company intends to leverage its operational expertise to continue to pursue its rollup of licensed cannabis facilities through Colorado.
Said Michael Feinsod, Executive Chairman, “We continue to execute on our roll-up strategy in Colorado. We are targeting profitable businesses in mature markets. The completion of the Cannasseur acquisition would add synergies across our cultivation assets, and complete our goal to have a vertically integrated licensed operation in the state of Colorado. The Cannasseur name, customer base and social following have a deep history in Southern Colorado. We look forward to leveraging the synergies of our portfolio as we grow.”
About General Cannabis Corp
General Cannabis Corp is the comprehensive national resource for the highest quality service providers available to the regulated cannabis industry. The company is a trusted partner to the cultivation, production and retail sides of the cannabis business. It achieves this through a combination of strong operating divisions, capital investments and real estate. As a synergistic holding company, the company’s divisions are able to leverage the strengths of each other, as well as a larger balance sheet, to succeed. The company’s website address is www.generalcann.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements include the following statements: General Cannabis’ plans to complete its acquisition of Cannasseur and that such acquisition is expected to increase General Cannabis’ revenue, EBITDA and cash flow; General Cannabis’ belief that the completion of the Cannasseur transaction would establish General Cannabis as one of the largest publicly traded Colorado cannabis operators in terms of revenue; General Cannabis’ intent to leverage its operational expertise to continue to pursue its rollup of licensed cannabis facilities through Colorado; General Cannabis’ belief that the completion of the Cannasseur acquisition would add synergies across its cultivation assets and complete its goal to have a vertically integrated licensed operation in the state of Colorado; and General Cannabis’ statement that it looks forward to leveraging the synergies of its portfolio as it grows. Any statements that are not statements of historical fact, such as the statements described above, should be considered forward-looking statements. Some of these statements may be identified by the use of the words “may,” “will,” “believes,” “plans,” “anticipates,” “expects” and similar expressions. General Cannabis has based these forward-looking statements on current expectations and projections about future events as of the date of this press release. These forward-looking statements are not guarantees of future performance, conditions or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including that the pending acquisition may not be consummated or may not have the intended benefits to General Cannabis if consummated, and including those factors described from time to time in General Cannabis’s most recent Annual Report on Form 10-K and most recent Quarterly Reports on Form 10-Q under the heading “Risk Factors” and in subsequent filings with the Securities and Exchange Commission. General Cannabis undertakes no duty to update any forward-looking statements made herein.