Cannabis company MedMen Enterprises Inc (CSE:MMEN; OTCQB:MMNFF) is branching out into the Chicago market through its latest acquisition of Seven Point dispensary.
The medical cannabis dispensary is just outside the Windy City in the suburb of Oak Park, located in a shopping district with retailers like Whole Foods, The Gap Inc (NYSE:GPS) and Pier 1 Imports Inc (NYSE:PIR).
READ: MedMen cuts deal to expand into Arizona’s fast-growing medical marijuana market
Shares of the Los Angeles-based company rose nearly 2% to $4.04 in Wednesday morning trading.
“MedMen has established a presence in the primary markets of California, Nevada and New York. Our strategy has been to put our brand in high visibility commercial districts in popular locations like Beverly Hills, Manhattan, Las Vegas, and Oak Park, just outside Chicago, fits the mold perfectly,” said CEO Adam Bierman in the company’s press release.
The number of medical marijuana patients in the state of Illinois jumped 41% to more than 42,000 while retail cannabis sales were up 35%, as per state data.
The state’s medical cannabis program has expanded to allow patients with opioid prescriptions to receive temporary licenses for medical cannabis, hoping to stem the tide of the country’s opioid crisis.
MedMen will pay a combination of cash and shares for Seven Point for “an amount not deemed material.” The deal is expected to close within 90 days.
The cannabis company also recently acquired Monarch, an Arizona-based medical marijuana dispensary that also operates a 20,000-square-foot cultivation and manufacturing facility.