Curaleaf Acquires Cannabis Retailer in Arizona

Curaleaf Holdings
Image: New Curaleaf Cannabis Location / Credit: Curaleaf

Curaleaf Holdings (CSE: CURA) (OTCQX: CURLF) has acquired exclusive rights to operate the Emerald dispensary in Gilbert, Arizona.

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The dispensary’s license is held by Arizona-based non-profit Absolute Healthcare. The dispensary will be rebranded as Curaleaf following the close of the deal.

The deal is valued at $18 million, of which $10 million in cash was paid into escrow on May 17, $5 million in cash is payable six months after the closing, and $3 million in cash is payable 12 months after the closing, which is subject to regulatory approval.

Emerald Medical Cannabis Retailer

Emerald is the only dispensary licensed to operate in the Town of Gilbert in the Metro Phoenix area. It is one of Arizona’s largest and longest standing medical cannabis retailers, serving over 44,000 patients since 2014.

The dispensary is one of the highest grossing dispensaries in the state, with its revenue hitting over $1 million in March 2019.

“This store fits very well into our existing footprint in Phoenix and is expected to be immediately accretive,” Curaleaf CEO Joseph Lusardi stated. “Combining Emerald’s large patient base with Curaleaf’s established supply chain is anticipated to generate strong earnings and enhance patient care in Arizona.”

Curaleaf is a multi-state cannabis operator in the U.S. The company operates in 12 states with 44 dispensaries, 12 cultivation sites and 11 processing sites.

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