Cresco Labs, a multi-state cannabis company, has announced its acquisition of licenses and assets in Arizona. This marks Cresco Labs’ second acquisition in Arizona, adding two cultivation facilities, one processing facility and one dispensary to a cultivation, processing and dispensary operation already owned in the Phoenix area.
Cresco has entered into a definitive agreement to acquire Arizona Facilities Supply and certain of its subsidiaries for cash and equity consideration. AFS operates Encanto dispensary in Phoenix and a cultivation center near the California border. Closing of the transaction is expected to take place in the fourth quarter of 2018 or the first quarter of 2019.
“Arizona is a state closely aligned with our strategic focus on entering markets with great patient participation, sound regulatory structures and a need for consumer-focused and consistent, quality cannabis products,” said Cresco Labs CEO and Co-founder Charlie Bachtell. “At Cresco Labs, we have already successfully scaled the steepest learning curves in the most highly regulated markets such as Illinois, Ohio and Pennsylvania. As a result, we are able to replicate our process to expand into other markets expeditiously and are excited to broaden our scale in the great state of Arizona.”
Cresco Labs currently has cannabis operations in six states: Arizona, California, Illinois, Nevada, Ohio and Pennsylvania.