Vireo Growth to Acquire Up to 25 Cannabis Dispensaries and Other Assets From The Cannabist Company
- Vireo Growth Inc. is acquiring cannabis cultivation, manufacturing, and retail assets from The Cannabist Company Holdings Inc. across five states—Colorado, Illinois, Massachusetts, New Jersey, and West Virginia—in a deal valued up to $35 million.
- The purchase includes up to 25 dispensaries, one cultivation facility, and one production asset, expanding Vireo's presence to approximately 230 dispensaries in 15 states, making it the second-largest dispensary network in the U.S.
- Vireo will pay up to $18.75 million in cash at closing and issue up to $16.25 million in seller notes, with the transaction closing in stages during 2026 and 2027 pending court and regulatory approvals.
- The Cannabist Company is restructuring, including U.S. and Canadian bankruptcy proceedings, and views the sale as a strategic move to position its assets for future growth through Vireo’s platform.
Vireo Growth Inc. has entered into an agreement to acquire cannabis operations from The Cannabist Company Holdings Inc. across five states in a transaction valued at up to $35 million.
The deal includes cultivation, manufacturing and retail assets in Colorado, Illinois, Massachusetts, New Jersey and West Virginia.
Vireo will pay up to $18.75 million in cash at closing and issue up to $16.25 million in seller notes. The final purchase price remains subject to adjustments involving debt, taxes, working capital and other financial items.
The transaction is expected to close in stages throughout the remainder of 2026 and into 2027, pending court authorization and regulatory approvals in each state.
Once completed, Vireo expects to add up to 25 dispensaries, one cultivation facility and one production asset.
The company would expand its Colorado presence to eight dispensaries while entering Illinois, Massachusetts, New Jersey and West Virginia for the first time.
Including previously announced acquisitions that have not yet closed, Vireo said the transaction would bring its retail footprint to approximately 230 dispensaries across 15 states. The company said that would give it the second-largest dispensary network in the country.
“The acquisition of select Cannabist assets meaningfully expands our operational footprint, strengthens our vertically integrated platform, and adds a highly experienced team along with operations in new markets for Vireo,” said Vireo Chief Executive Officer John Mazarakis.
The sale is part of a broader strategic review by The Cannabist Company, which began restructuring proceedings in Canada in March.
The company also initiated Chapter 15 proceedings in the U.S. Bankruptcy Court for the District of Delaware to obtain recognition of the Canadian restructuring process. The U.S. court granted recognition in May.
Cannabist previously announced a nonbinding agreement involving the assets in March before entering the definitive purchase agreement with Vireo.
“We are proud of the team and operations we have built across these markets, and we believe these transactions position those assets for continued growth and long-term success through Vireo’s platform,” said Cannabist Chief Executive Officer David Hart.
The transaction was unanimously approved by special committees and boards overseeing the companies. It remains subject to approval from the Ontario Superior Court of Justice and cannabis regulators in each affected state.
Vireo currently operates in 10 states and has more than 170 dispensaries nationwide.