Atlanta-based Parallel has moved into Illinois with the agreement to acquire six stores belonging to a retail store chain in the state for $100 million.
Parallel, who is one of the largest privately held multi-state cannabis operators in the United States, entered into a definitive agreement to acquire the stores from Windy City Cannabis.
Windy City currently operates four medical and recreational marijuana stores in Homewood, Highwood, Posen and Litchfield and is expected to open two more adult-use outlets in Carpentersville and Macomb in the state this month.
The deal is expected to close in the second half of this year and is comprised of $60 million in cash and $40 million in Parallel stock.
If certain performance-based, earnout payments payable through 2023 are attained, the deal could then be worth $155 million, says Parallel.
Acquiring the stores makes Illinois he sixth limited-licensed state where Parallel will have operations. The company also has operations in Florida, Massachusetts, Nevada, Pennsylvania and Texas.
The CEO of Parallel, William “Beau” Wrigely Jr. is the heir to Wrigley the chewing gum. It was in February that his company had struck a deal to be purchased by Ceres Acquisition Corp., a special purpose acquisition company.
This deal will take Parallel public through a transaction that values the MSO at $1.9 billion.