Indus Holdings Inc. (OTCMKTS:INDXF) announced termination of its impending acquisition of W Vapes assets that was announced in May last year. The decision to terminate the transaction corresponds with the recently announced asset acquisition between W Vapes and Planet 13.
Indus Holdings terminates the transaction with W Vapes
As per the terms of termination of the transaction, Indus will not be obligated to complete the acquisition of the assets from W Vapes. Equally, the Las Vegas facility where local cultivation operations take place that Indus bought on December 6 last year will be sold to Planet 13 affiliates. Already Indus has received around $50,000 cash payment following singing and closing of transaction after regulatory approvals. The company expects to receive more cash, with net proceeds expected to be around $2.8 million.
Indus Holdings’ board chairman, George Allen stated that the acquisition and related capital expenditure didn’t make any strategic sense for the company. He added that the termination of the transaction is in line with the company’s focus in the California cannabis market which is the largest market globally. Allen confirmed that the company sees huge opportunity in California where they plan to redeploy capital with greater synergies supporting Indus’ strategy and its profitability path. Indus will now concentrate in California where they have finalized renovation of two facilities with the third expected to be complete by August.
Acquisition of W Vapes valued at $20 million
The company entered a definitive agreement to acquire W Vapes assets in a cash plus stock transaction. The acquisition sought to solidify the California-based company’s market position in the cannabis sector to Oregon and Nevada. The company’s co-founder and CEO Robert Weakley stated that they were expanding their footprint to take advantage of Oregon and Nevada’s opportunities.
The deal was valued at $20 million, and Indus Holdings was to pay for the assets with $10 million worth of its common shares priced at CA$15.65 a share and $10 million cash consideration.
Mydecine Innovations Group Inc (OTCMKTS: MYCOF) Provides an Update on Spin-Out of Cannabis Assets in the United States
Post Views: 3 Mydecine Innovations Group Inc (OTCMKTS: MYCOF) recently announced that it has both mailed and filed its management information...
Tauriga Sciences, Inc. (OTCMKTS: TAUG) Sets up a Clinical Trial to Determine the effects of Cannabidiol on Pregnant Women with a Hyperemesis Gravidarum Diagnosis.
Post Views: 6 Nausea and vomiting are very common in early pregnancy, and the victims have to ingest multiple medications....
BetterLife Pharma Inc. (OTCMKTS: BETRF) Announce Initiation Of In Vitro Studies of AP-003 Against The Delta Variant of SARS-CoV-2
Post Views: 25 Depression impacts approximately 265 million people in the world. According to WHO, it is one of the...
Ayr Wellness Inc. (OTCMKTS: AYRWF) Signs a Binding Letter of Intent to Acquire PA Natural Medicine, LLC
Post Views: 25 Curiosity about cannabis is building by the day as more expert cultivators, manufactures, budtenders, and patient consultants...
Schwazze (OTCMKTS: SHWZ) Spends $6.7 Million to Acquire the Assets of Brow 2, LLC, Located in Denver, Colorado
Post Views: 39 Innovative thinking is what will keep the next era of the cannabis industry alive. This is according...
Valens Company Inc (OTCMKTS: VLNCF) Acquires Leading, Premium Craft Licensed producer, Citizen Stash Cannabis Corp
Post Views: 109 Valens Company Inc (OTCMKTS: VLNCF), a leading manufacturer of cannabis products, announced that it entered into an...