PORTLAND, Ore., Feb. 26, 2021 (GLOBE NEWSWIRE) — Golden Leaf Holdings Ltd. (CSE: GLH) (OTCQB: GLDFF) (“Golden Leaf,” “GLH” or the “Company”), a premier, consumer-driven cannabis company specializing in retail, production, processing, wholesale and distribution, today announces it has signed a non-binding letter of intent to acquire a multi store chain in the Northwest Oregon. These stores are expected to generate at least US$10 million in annual run rate revenue (based on unaudited January 2021 results) and had a net operating margin of 11% (unaudited) during fiscal 2020 (under U.S. GAAP).
“We will announce further details about this transaction upon the signing of a definitive purchase agreement,” commented John Varghese, Golden Leaf Executive Chairman.
The Company currently anticipates that the consideration for the acquisition will consist of a mix of cash, common shares and a promissory note. The Company expects to use the funds raised in its current private placement transaction to fund the cash portion of the purchase price for these stores. The Closing would be subject to execution of a definitive purchase agreement and satisfaction of all conditions thereunder, including applicable regulatory approvals. If a definitive purchase agreement is entered into, the Company expects that closing could occur within eight weeks from such execution.
“The acquisition of this retail chain will be transformative for GLH, as it would further cement us as a leader in the Oregon market. The Company expects this transaction to be accretive on close, as we will achieve tremendous synergy with our effort and current footprint and the introduction of our market-leading Chalice brand products,” noted CEO Jeff Yapp.
About Golden Leaf Holdings
Golden Leaf Holdings is a premier, consumer-driven cannabis company specializing in production, processing, wholesale, distribution and retail, with seven dispensaries in Portland, Oregon. The Company is committed to developing a dynamic portfolio built around the recognized brands of Chalice Farms, with a focus on health and wellness. Markets served include Oregon, California, Nevada and Washington. Visit www.glhmonthly.com for regular updates.
Golden Leaf Holdings Ltd.
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