One of the nation's biggest cannabis companies announced Monday it will buy VidaCann, a Jacksonville medical marijuana company that has dispensaries on W Kennedy Boulevard in Tampa, Gandy Boulevard in St. Petersburg and five other Florida cities, for $120 million in cash and stock.
With the acquisition, Chicago-based Cresco Labs will gain a medical marijuana license to grow, process, manufacture, distribute and dispense its products at up to 30 retail locations in Florida (and 35 if the number of registered patients grows as projected).
The company cited statistics from Arcview Market Research/BDS Analytics that Florida's medical cannabis market is projected to grow to $1.7 billion and 550,000 registered patients (up from about 200,000 now) by 2022. Florida's "outsized demand" and "strong regulatory structures" should help Cresco grow its business and boost its earnings, Cresco Labs CEO and co-founder Charlie Bachtell said in an announcement.
"Since relaunching its cannabis program in 2017, Florida has seen tremendous growth in patient registration and is one of the most important markets in the country," he said.
With the VidaCann purchase, Cresco will operate in 10 states, including six of the seven most populous.
Contact Richard Danielson at firstname.lastname@example.org or (813) 226-3403. Follow @Danielson_Times