Chicago-based cannabis giant Verano has closed its $29 million acquisition of Sierra Well, which runs a dispensary in Carson City.
According to Verano Director of Communications Steve Mazeika, the acquisition includes two dispensaries, one in Carson and one in Reno, and a cultivation and production facility in Reno.
“Today signifies a huge step forward for our business in Nevada, a state that we have long considered a core growth market and key piece of our operational footprint,” said George Archos, Verano founder and chief executive officer. “Gaining a presence in Reno and Carson City provides Verano with comprehensive retail and distribution opportunities in Northern Nevada that complement our current operations in the Las Vegas area.”
Sierra Well is now a wholly owned subsidiary of Verano. The purchase price of $29 million was disclosed in a July 26, 2021, press release. According to that release, $5.6 million of the deal was paid in cash, along with more than 1.5 million shares in the company.
Verano already has a production facility in North Las Vegas, as well as three dispensaries in Southern Nevada, according to Mazeika. Nationally, Verano is active in 13 states, running 116 dispensaries and 14 production facilities.
Announcement of the closing comes weeks after the Carson City Board of Supervisors approved the first reading of a new ordinance that would allow the number of dispensaries in Carson City to go from two to four. State law allows four in a city the size of Carson, but after legalization in 2016, supervisors voted to limit the number of dispensaries to two.
The applicant that requested the new ordinance is Qualcan, a Las Vegas-based cannabis company that has proposed building a new dispensary in Carson. Currently, Sierra Well and Rise are the only dispensaries in the city. Rise is owned by Green Thumb Industries, another marijuana company based in Chicago.