Goodness Growth is now the second licensed medical marijuana company in the state of Minnesota to be sold to a national consolidator.
The company was bought by Chicago-based Verano Holdings, which said the company’s New York license was key to the deal.
Verano Holdings will buy Goodness Growth Holdings, in a $413 million stock transaction that is valued at $2.39 per share.
Verano Holdings and Goodness Growth, formerly Vireo Health, announced the deal earlier this week.
Goodness Growth is one of two companies holding an integrated cannabis license in Minnesota. The other, LeafLine Industries, was bought in January by Chicago-based Green Thumb Industries.
“We have always viewed New York as a strategic market to solidify our existing East Coast presence, particularly ahead of the state’s adult-use rollout, as we further expand the Verano platform and exceed a milestone of operating more than 100 dispensaries across the country,” CEO George Archos said in a prepared statement.
Goodness Growth operations include 18 dispensaries; a research and development facility; and five cultivation and processing facilities in the states of Minnesota, New York, Arizona, New Mexico and Maryland.
When the transaction closes, Verano’s footprint will span 18 states, with active operations in 15, and include 17 cultivation facilities.
Dr. Kyle Kingsley, CEO of Goodness Growth, said in a statement that Verano is the “ideal partner to take our business to the next level. Verano continues to reach new heights as one of the top multistate cannabis operators.”
