Nabis Holdings Inc (CSE:NAB) (OTCMKTS:NABIF) announced Monday it has completed the acquisition of 100% of the membership units of Perpetual Healthcare Inc.
The acquisition, previously announced on August 12 and October 16, included Arizona-based Emerald Phoenix, a licensed medical marijuana dispensary and Infusion Edibles, a popular cannabis-infused snack and beverage brand.
“This closing marks a critical milestone to our expanding reach in Arizona’s strong limited-license, medical cannabis market,” said Nabis CEO Shay Shnet in a statement.
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“Our team has already begun laying the groundwork in strategizing to build out and optimize these assets, with plans to introduce our BIS branded products at Emerald Phoenix and through Infusion Edibles’ established distribution network in Arizona.”
Acquiring 100% of the membership units of Perpetual Healthcare cost Nabis US$15 million (C$19.65 million). The payment consists of $7 million in cash and $8 million deferred for 12 months with 5% interest.
“The previously disclosed US$2M in Nabis share consideration was added to the deferred note, resulting in no share dilution for the US$15M acquisition,” Shnet noted.
Management expects the Arizona dispensary and infusions operations will report about US$9 million in top-line revenue annually, based on the target's unaudited internal financial statements prepared for the 9-month period ending September 30, 2019.
Nabis, based in Vancouver, is an investment issuer that invests in high-quality cash flowing assets across multiple industries, including real property, securities, cryptocurrency, and all aspects of the US and international cannabis sector
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