Jushi Holdings Inc.
The firm has a subsidiary called Production Excellence, which has just received local authorization from the City of North Las Vegas to commence operations. It has agreed to pay Franklin Bioscience shareholders $6.4 million in cash and $2.6 million in promissory notes to secure the deal.
Jushi has filed a change of ownership with the Nevada Department of Taxation and the purchase will go through “during the second half of 2019” subject to state and local approvals.
Franklin Bioscience has been investing in, incubating, and developing cannabis businesses since 2012. It owns facilities at adjacent buildings in Las Vegas, boasting cultivation, manufacturing and distribution capabilities.
They are fully licensed to produce adult-use and medical marijuana, and there is the potential to expand the facilities if demand grows for the products Jushi creates there.
Sixty million tourists visit Las Vegas each year to enjoy slots, table games, world-class entertainment, fine dining, epic parties, and Elvis impersonators. It has a budding cannabis scene, with the flagship Planet 13 store serving as a tourist destination in its own right.
There are also 3 million people living in Las Vegas and Jushi is keen to serve this large consumer base.
“As one of the largest adult-use markets in the U.S., Nevada’s high tourist volume represents an opportunity for us to showcase our operational expertise and partner with other premier national brands as well as provide an ideal, central location for wholesale distribution,” said chairman and chief executive Jim Cacioppo.
Jushi is also buying a hemp handler license, which will allow it to receive and process industrial hemp in accordance with Nevada regulations. It already has a hemp CBD processing license in New York, while it also completed a $63 million deal for Franklin Biosciences’s Pennsylvanian medical marijuana dispensary operations earlier this month.
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