Farella Represents Next Green Wave in Agreement to Sell to Planet 13
Northern California legal powerhouse Farella Braun + Martel acted as U.S. counsel in representing California seed-to-shelf cannabis producer Next Green Wave Holdings (NGW) in its definitive arrangement agreement to be sold to Nevada-based cannabis company Planet 13 Holdings Inc.
According to the purchase agreement, Planet 13 will acquire all of the issued and outstanding common shares of NGW for total consideration of approximately $70 million. The transaction is expected to close in the first quarter of 2022 after approval from NGW shareholders.
Commentary from Planet 13 and NGW management:
“Today’s announcement is an extension of the strategy we’ve laid out for investors of adding cultivation and production in California to vertically integrate and bring our highly popular brands into the state. We are methodically expanding our footprint to drive topline growth and improved profitability,” said Bob Groesbeck, Co-CEO and Co-founder of Planet 13. “We’ve been incredibly impressed by the Next Green Wave team and their ability to generate revenue and Adjusted EBITDA based on the quality of their cultivation and manufacturing in this very competitive market.”
“This is an exciting day for Next Green Wave shareholders. Planet 13 has proven its ability to run incredibly productive retail locations and create manufactured products that command a significant share of sales in their home state of Nevada,” said Mike Jennings, CEO of Next Green Wave. “They are a perfect fit for Next Green Wave, and being a part of their attractive growth profile and expansion in Illinois and Florida is the correct next step for NGW.”
The Farella deal team was led by Ryan Lowther with Jeffrey Hamilton, Julie Treppa, Wendy Hernandez, and Shannon Sullivan.
Farella Braun + Martel is a leading Northern California law firm representing corporate and private clients in sophisticated business and real estate transactions and complex commercial, civil and criminal litigation. Clients seek our imaginative legal solutions and the dynamism and intellectual creativity of our lawyers. We are headquartered in San Francisco and maintain an office in the Napa Valley that is focused on the wine industry.
Contact:
Cheryl Loof
Farella Braun + Martel LLP
415.954.4433 / [email protected]