Sunday, November, 27, 2022 09:21:13
Cresco Labs enters New York with the acquisition of Gloucester
Cresco Labs Inc., a leading cannabis operator in the U.S., recently announced that it has obtained 100% of the membership interests in Gloucester Street Capital (Gloucester), the parent company of Valley Agriceuticals, through a merger between Gloucester and one of its subsidiaries.
As a result of the acquisition, Cresco Labs now reportedly holds one of the 10 vertically integrated cannabis trade licenses in New York issued by New York State Department of Health. Each license grants the company the right to operate one cultivation facility and four dispensaries in New York.
New York, which is currently a medical-use only market, evidently has around 2,500 registered practitioners and 107,000 certified patients. New York's medical cannabis program has fifteen qualifying conditions including chronic pain, post-traumatic stress disorder (PTSD) and opioid replacement.
Charles Bachtell, Co-founder and CEO of Cresco Labs claimed New York to be one of the world’s most prominent consumer markets and the group expects the state of New York to act as a foundation for Cresco Labs’ vision to establish the most valuable and strategic geographic footmark in the cannabis industry in US.
After receiving regulatory approval for the transaction, Valley Ag had launched two new dispensaries in Huntington, Long Island and Williamsburg, Brooklyn as a result of which Cresco Labsenters the New York market with four strategically located dispensaries, said Charles, adding that the firm plans to raise around $500 million by 2022 by leveraging its topnotch branding, marketing and distribution expertise.
For the record, Cresco Labs also has two licensed operating facilities in Bardonia and New Hartford in addition to its recently acquired dispensaries in Brooklyn and Long Island.
Stephen Ashekian CEO of Gloucester Street Capital described Cresco Labs to be an ideal partner for Gloucester due to their focus on compliance, superior management team and experience across hyper-regulated industries.
He remarked that Cresco Labs’ priority for putting the patients first, commitment to social equity and strategic decision making will make them a front-runner in New York market.
Source Credits —https://investors.crescolabs.com/investors/press-releases/press-release-details/2019/Cresco-Labs-Announces-Closing-of-Acquisition-in-New-York-State/default.aspx