Multistate marijuana company MedMen Enterprises has closed a non-brokered private placement worth $10 million that will be used “to drive” new store openings in Boston and San Francisco.
MedMen sold $10 million worth of units at 32 cents per unit. Each unit includes one subordinate voting share and one share purchase warrant redeemable for an exercise price of 35.2 cents per share within three years.
MedMen Announces Non-Brokered Private Placement to Drive Fenway and San Francisco Store Openings
LOS ANGELES–(BUSINESS WIRE)–MedMen Enterprises Inc. (“MedMen” or the “Company”) (CSE: MMEN) (OTCQX: MMNFF), is pleased to announce the closing of the sale of USD$10.0 million of units (“Units“) at a purchase price of USD$0.32 per Unit (the “Private Placement”). Each Unit consists of one Class B subordinate voting share (each, a “Share“) and one share purchase warrant (each, a “Warrant“). Each Warrant permits the holder to purchase one Share for a period of three years from the date of issuance at an exercise price of USD$0.352 per Share.
“As we accelerate construction for new store openings in our Fenway and two San Francisco locations we are repositioning our narrative from one of turnaround to one of growth”
“As we accelerate construction for new store openings in our Fenway and two San Francisco locations we are repositioning our narrative from one of turnaround to one of growth,” said Tom Lynch, Chairman and Chief Executive Officer of MedMen. “We just announced our third consecutive quarter of positive retail cash flow, as previously defined, and our new locations perfectly encapsulate what the new MedMen story is about: a capital disciplined approach to world-class locations, superior customer experience and selection, but also a new commitment to the communities we are serving.”
As previously disclosed, the Company anticipates opening its Fenway location late summer or early fall 2021 and its two San Francisco, CA locations fall 2021.
This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any jurisdiction in which such offer, solicitation or sale would be unlawful. The securities being offered have not been registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the U.S. Securities Act, and applicable state securities laws. As part of the transaction, the Company has agreed to file a resale registration statement on Form S-1 with the Securities and Exchange Commission within 20 days of the closing to register the resale of the Shares and Shares underlying the Warrants issued in the Private Placement.
MedMen is a premier American cannabis retailer with an operational footprint in prime locations throughout California, Nevada, Illinois, Arizona, Massachusetts and Florida. MedMen offers a robust selection of high-quality products, including MedMen-owned brand MedMen Red through its premium retail stores, proprietary delivery service, as well as curbside and in-store pick up. MedMen Buds, our industry-first loyalty program, provides our VIP customers premier access to promotions, product drops and content. MedMen believes that a world where cannabis is legal and regulated is safer, healthier and happier. Learn more about MedMen at www.medmen.com.