Acreage Holdings Inc OTCMKTS: ACRGF Enters into Letter of Intent to Sell Real Estate Assets to Newly Formed Cannabis REIT


Acreage Holdings Inc OTCMKTS: ACRGF is the largest vertically integrated, multi-state operator of cannabis licenses and assets in the U.S. with respect to the number of states with cannabis related licenses, according to publicly available information.  Acreage owns licenses to operate or has management services agreements with license holders to assist in operations of cannabis facilities in 20 states (including pending acquisitions) with a population of approximately 180 million Americans, and an estimated 2022 total addressable market of more than $17 billion in legal cannabis sales, according to Arcview Market Research.  Acreage is dedicated to building and scaling operations to create a seamless, consumer-focused branded cannabis experience. Acreage’s national retail store brand, The Botanist, debuted in 2018.

Acreage Holdings Inc OTCMKTS: ACRGF On May 13, 2019 announced it has entered into a Letter of Intent (the “Letter of Intent”) with GreenAcreage Real Estate Corp., a newly formed REIT (“GARE”), negotiated at arm’s length, under which GARE would purchase and lease back to Acreage cannabis related real estate assets. GARE is externally managed by GreenAcreage Management LLC, an entity in which Acreage holds a 20% interest (“GreenAcreage”) and in which its CEO has invested.

The provisions of the Letter of Intent state that GARE would, upon the financing of GARE, purchase properties identified by both parties for values to be mutually agreed upon, fund or reimburse Acreage for real estate improvements and lease said identified properties back to Acreage in accordance with negotiated terms.  Acreage would also grant GARE a right of first offer to assume Acreage’s position as a purchaser of a pipeline of properties over the next three years.

GARE will operate initially as an externally-managed company, advised by GreenAcreage, and will remain independent from Acreage.  GARE boasts a highly respected and experienced leadership team featuring Executive Chairman, Gordon DuGan, Vice Chairman and Founder, David Carroll, and Chief Executive Officer, Katie Barthmaier.

Acreage Holdings Inc OTCMKTS: ACRGF On May 08, 2019 announced the appointment of Christine Rigby as Vice President of Investor Relations. Rigby will partner with Steve West to develop and strengthen the company’s investor relations strategy and framework to deliver its vision to all shareholders. Rigby will also help drive strategic initiatives with Acreage’s management team. The continued growth of the cannabis industry has generated significant investor interest in the space, and Acreage is assembling the best team to cultivate new investor relationships. Rigby brings with her more than 25 years of capital markets experience and joins Acreage after leading investor relations and serving as a board member at another leading cannabis multi-state operator, Curaleaf Holdings. Rigby will report to Chief Financial Officer Glen Liebowitz.

“Christine is recognized as one of the most effective and respected investor relations professionals in the cannabis industry, with extensive experience across investment strategy, private equity, sales, trading and capital raising. We could not be more thrilled to have Christine on our team to continue building and strengthening our relationships with the investment community,” said Acreage Chairman and CEO Kevin Murphy.

Prior to joining Acreage, Rigby led Investor Relations at Curaleaf Holdings for three years, helping grow Curaleaf’s national footprint from one to 12 states and playing a critical role in its RTO process. Concurrently, Christine assisted in launching Measure 8 Venture Partners, a private equity fund focused on the cannabis space with over $100 million raised. For close to 10 years before that, she served as a Vice President and Head Trader for the private equity fund, The Sputnik Group, serving as the lead contact for investment, private banking and prime broker relationships.  She began her career at Citi Smith Barney, concluding her 14 years at the firm as Senior Vice President of Wealth Management.

“I have closely watched and admired the professional approach and tremendous growth trajectory of Acreage these past few years and could not be more excited to play an integral role in telling the company’s story to the investment community,” said Christine Rigby.