AWH reiterates it has received full approval from the state regulators to transfer the license; AWH continues to call on MedMen to close the transaction and provide continuity to the medical patients of New York
NEW YORK, Jan. 6, 2022 /CNW/ – Ascend Wellness Holdings, Inc. (“AWH” or the “Company”) (CSE: AAWH.U) (OTCQX: AAWH), a multi-state, vertically integrated cannabis operator focused on bettering lives through cannabis, announced MedMen Enterprises Inc. (CSE: MMEN) (OTCQX: MMNFF) (“MedMen”) has continued to breach the previously announced definitive investment agreement (the “Investment Agreement”) among AWH, MedMen NY, Inc., MM Enterprises USA, LLC and AWH New York, LLC (together with AWH) by refusing to close the transactions contemplated by the Investment Agreement. By refusing to close the transactions on the grounds that the required regulatory approval was not obtained, MedMen is essentially challenging the regulators’ authority and ignoring the regulations of the state’s medical program.
On January 2nd, 2022, MedMen attempted to unilaterally terminate the Investment Agreement citing that the parties had not received approval by the applicable state regulators to satisfy the closing conditions. On January 3th, 2022, AWH submitted notification to MedMen that their termination attempt was invalid. AWH is of the firm belief that this attempted termination was invalid, as the parties had received finalapproval by the state regulators for the purposes of closing the transaction and enacting the transfer of ownership. On January 6th, AWH reiterated this in their notice to MedMen regarding regulatory compliance. AWH again calls on MedMen to honor its commitments made in the Investment Agreement and to close the transactions contemplated and provide continuity to the medical patients of New York.
AWH remains committed to closing and serving the patients of the New York Medical Marijuana Program. AWH intends to work with the Office of Cannabis Management and the Cannabis Control Board of the State of New York to increase access to patients.