TerrAscend Corp. (“TerrAscend” or the “Company”) (CSE: TER) (OTCQX: TRSSF), a leading North American cannabis operator, today announced it has completed the acquisition of an additional 12.5% of the issued and outstanding equity of TerrAscend NJ, LLC (“TerrAscend New Jersey”) from BWH NJ, LLC and Blue Marble Ventures, LLC (collectively, the “Sellers”), for an initial cash payment of $25 million with an additional $25 million payment comprised of a combination of cash and TerrAscend common shares to be paid on or before December 31, 2021. As a result, the Company now owns 87.5% of the issued and outstanding equity of TerrAscend New Jersey.
In addition, the Company and the Sellers have agreed to terms whereby TerrAscend will have the option to purchase an additional 6.25% of TerrAscend New Jersey at a pre-determined valuation during the period commencing April 1, 2023 through June 15, 2023.
“I am thrilled to increase our stake in TerrAscend New Jersey ahead of the commencement of adult-use sales,” said Jason Wild, Executive Chairman of TerrAscend. “We are focused on exceeding New Jersey customers’ expectations and are well-positioned with our Cookies brand partnership and new Lodi dispensary set to open before year-end.”
TerrAscend New Jersey currently operates a 140,000 sq. ft cultivation and processing facility located in Boonton. In addition, TerrAscend New Jersey operates two Alternative Treatment Centers (“ATCs”), or dispensaries, located in Maplewood and Philipsburg, and expects to open a third ATC in the high-traffic town of Lodi, right outside of New York City, before the end of the year.
