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The Markets
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Cannabis

The Parent Company halts plans to invest $50M in California cannabis grower Glass House

The Parent Company said it will consider future partnership opportunities as Glass House purchases and completes the retrofit of its greenhouse cultivation facility in southern California

TPCO Holding Co - known as The Parent Company - (NEO:GRAM) (OTCQX:GRAMF) said its previously-announced conditional agreement to complete a $50 million strategic investment in GH Group, Inc (Glass House), through a private placement offering by Mercer Park Brand Acquisition Corp, has been terminated by all parties involved and the strategic investment will not be completed at this time.

The Parent Company noted it will consider future partnership opportunities as Glass House purchases and completes the retrofit of its greenhouse cultivation facility in southern California.

“In addition to our supply of award-winning, in-house cannabis, we remain well-positioned with sufficient access to both high-quality, low-cost indoor and outdoor-grown cannabis for use in our portfolio of branded products that are sold through our wholesale and direct-to-consumer channels,” The Parent Company CEO Steve Allan said in a statement.

READ: The Parent Company expands California retail footprint with acquisition of dispensary Calma West Hollywood

“Glass House is building a robust cultivation footprint in California, and we look forward to working with their team in the future on potential collaborations as we broaden our reach across the state,” Allan added.

“Looking ahead, we will continue to strategically deploy our capital on high-growth investment opportunities that will solidify our leadership position and offer strong value for our shareholders.”

Mercer Park Brand Acquisition Corp, a special purpose acquisition company, recently merged with Glass House.

The Parent Company’s portfolio includes eight owned and licensed brands in form-factors like flower, pre-rolls, vaporizer cartridges, concentrates, gummies, chocolate, beverages, capsules, tinctures, lozenges, topicals and body care products. A couple of standouts include Monogram, JAY-Z’s luxury cannabis brand, and Caliva, a San Jose-based brand that grows, manufactures and sells its own branded products in more than 250 dispensaries across California.

Contact Sean at sean@proactiveinvestors.com

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