TILT Holdings Signs Definitive Agreement to Divest Retail Locations in Massachusetts to In Good Health for $2 Million
TILT Holdings has signed an Asset Purchase Agreement to divest two Massachusetts dispensaries for $2 million in cash. The company will transfer ownership of its Taunton dispensary to In Good Health and close its Brockton location. This move aligns with TILT's strategy to explore alternatives for its plant-touching business and focus on its Jupiter Research vape hardware division.
The transaction, expected to close in first half 2025, represents the first step in TILT's execution of strategic transactions aimed at optimizing its balance sheet and operating expenses. The company continues to review strategic alternatives for its remaining operations in Massachusetts, Pennsylvania, and Ohio, while maintaining one location in Cambridge under review.
In Good Health will integrate the Taunton location into its existing network, creating a strategic triangle with their Brockton and Sandwich locations. Highgate Capital Partners is serving as broker for this transaction.
TILT Holdings ha firmato un Accordo di Acquisto di Attività per cedere due dispensari nel Massachusetts per 2 milioni di dollari in contanti. L'azienda trasferirà la proprietà del suo dispensario di Taunton a In Good Health e chiuderà la sua location di Brockton. Questa mossa si allinea alla strategia di TILT di esplorare alternative per il suo business a contatto con le piante e focalizzarsi sulla sua divisione hardware per svapo, Jupiter Research.
La transazione, prevista per la chiusura nella prima metà del 2025, rappresenta il primo passo nell'esecuzione da parte di TILT di transazioni strategiche destinate a ottimizzare il suo bilancio e le spese operative. L'azienda continua a rivedere alternative strategiche per le sue operazioni rimanenti nel Massachusetts, Pennsylvania e Ohio, mantenendo una location a Cambridge in fase di revisione.
In Good Health integrerà la location di Taunton nella sua rete esistente, creando un triangolo strategico con le loro location di Brockton e Sandwich. Highgate Capital Partners funge da broker per questa transazione.
TILT Holdings ha firmado un Acuerdo de Compra de Activos para deshacerse de dos dispensarios en Massachusetts por 2 millones de dólares en efectivo. La empresa transferirá la propiedad de su dispensario de Taunton a In Good Health y cerrará su ubicación de Brockton. Este movimiento se alinea con la estrategia de TILT de explorar alternativas para su negocio relacionado con la planta y enfocarse en su división de hardware de vapeo, Jupiter Research.
La transacción, que se espera cierre en la primera mitad de 2025, representa el primer paso en la ejecución por parte de TILT de transacciones estratégicas destinadas a optimizar su balance y gastos operativos. La empresa continúa revisando alternativas estratégicas para sus operaciones restantes en Massachusetts, Pennsylvania y Ohio, mientras mantiene una ubicación en Cambridge en revisión.
In Good Health integrará la ubicación de Taunton en su red existente, creando un triángulo estratégico con sus ubicaciones en Brockton y Sandwich. Highgate Capital Partners actúa como corredor para esta transacción.
TILT Holdings는 200만 달러에 매사추세츠의 두 개의 약국을 매각하는 자산 매매 계약에 서명했습니다. 이 회사는 타운턴 약국의 소유권을 'In Good Health'에 양도하고 브록턴 매장을 닫습니다. 이 조치는 TILT의 식물 관련 비즈니스 대안을 탐색하고 주피터 리서치의 전자 담배 하드웨어 부문에 집중하겠다는 전략과 일치합니다.
2025년 상반기 중 마감될 것으로 예상되는 이 거래는 TILT의 재무 상태와 운영 비용을 최적화하기 위한 전략적 거래 실행의 첫 단계입니다. 이 회사는 매사추세츠, 펜실베이니아, 오하이오의 남은 운영을 위한 전략적 대안을 계속 검토하며, 케임브리지에 한 곳을 검토 중입니다.
In Good Health는 타운턴 위치를 기존 네트워크에 통합하여 브록턴 및 샌드위치 위치와 함께 전략적 삼각형을 만듭니다. Highgate Capital Partners는 이 거래의 중개인 역할을 합니다.
TILT Holdings a signé un Accord d'Achat d'Actifs pour céder deux dispensaires du Massachusetts pour 2 millions de dollars en espèces. L'entreprise transférera la propriété de son dispensaire de Taunton à In Good Health et fermera son emplacement à Brockton. Cette décision s'inscrit dans la stratégie de TILT d'explorer des alternatives pour son activité en lien avec les plantes et de se concentrer sur sa division matériel de vape, Jupiter Research.
La transaction, qui devrait se conclure dans la première moitié de 2025, représente la première étape dans l'exécution par TILT de transactions stratégiques visant à optimiser son bilan et ses dépenses opérationnelles. L'entreprise continue de revoir des alternatives stratégiques pour ses opérations restantes dans le Massachusetts, la Pennsylvanie et l'Ohio, tout en maintenant un emplacement à Cambridge sous révision.
In Good Health intégrera l'emplacement de Taunton dans son réseau existant, créant un triangle stratégique avec leurs emplacements de Brockton et Sandwich. Highgate Capital Partners agit en tant que courtier pour cette transaction.
TILT Holdings hat einen Kaufvertrag für Vermögenswerte unterzeichnet, um zwei Apotheken in Massachusetts für 2 Millionen Dollar in bar zu veräußern. Das Unternehmen wird das Eigentum an seiner Apotheke in Taunton an In Good Health übertragen und den Standort in Brockton schließen. Dieser Schritt entspricht der Strategie von TILT, Alternativen für sein Pflanze berührendes Geschäft zu erkunden und sich auf seine Jupiter Research Vape-Hardware-Abteilung zu konzentrieren.
Die Transaktion, die voraussichtlich in der ersten Hälfte des Jahres 2025 abgeschlossen wird, stellt den ersten Schritt bei der Umsetzung strategischer Transaktionen dar, die darauf abzielen, die Bilanz und Betriebskosten von TILT zu optimieren. Das Unternehmen prüft weiterhin strategische Alternativen für seine verbleibenden Aktivitäten in Massachusetts, Pennsylvania und Ohio und behält dabei einen Standort in Cambridge im Auge.
In Good Health wird den Standort Taunton in sein bestehendes Netzwerk integrieren und ein strategisches Dreieck mit ihren Standorten in Brockton und Sandwich schaffen. Highgate Capital Partners fungiert als Makler für diese Transaktion.
- Receives $2 million in cash from dispensary divestment
- Strategic alignment with focus on core vape hardware business
- Reduction in operational expenses through consolidation
- Reduction in retail presence and market share in Massachusetts
- Loss of revenue streams from divested dispensaries
PHOENIX, Feb. 03, 2025 (GLOBE NEWSWIRE) -- TILT Holdings Inc. (“TILT" or the “Company”) (Cboe CA:TILT) (OTCQB: TLLTF), a global provider of cannabis business solutions that include inhalation technologies, cultivation, manufacturing, processing, brand development and retail, today announced that it has signed an Asset Purchase Agreement (“APA”) to divest two dispensaries in Massachusetts (the "Transaction"). The Transaction is aligned with TILT’s broader strategy to explore strategic alternatives for its plant touching business, streamline operations, and unlock value in its vape hardware business, Jupiter Research.
Under the terms of the Transaction, TILT will transition ownership of its Taunton dispensary to In Good Health, a private single-state cannabis operator, and shut down its Brockton dispensary for
“This divestiture marks an important first step in TILT’s execution of strategic transactions aimed at optimizing our balance sheet and operating expenses,” said TILT Chief Executive Officer, Tim Conder. “We are making steady progress in identifying and executing strategic alternatives for our plant-touching assets, including cultivation and manufacturing operations in Massachusetts, Pennsylvania, and Ohio. In parallel, we are actively optimizing our Jupiter business to continue to deliver the best products and service to our customers in a rapidly evolving vaporization hardware market."
“We are excited about adding to our Massachusetts retail footprint and providing a new cannabis experience for Taunton-area residents, some of whom we have been serving for years in our Brockton dispensary,” said In Good Health President and Chief Executive Officer, David Noble. “This acquisition allows us to bring our signature brands and high-quality, affordable products to a new community. Taunton is a perfect third point on the triangle, with our Brockton location to the north and Sandwich to the east, and this location will allow us to efficiently move resources within this territory to best meet the needs of our customers.”
Transaction Timing and Details
The Transaction is expected to close in the first half of 2025, subject to receipt of customary regulatory approvals and satisfaction of other closing conditions outlined in the Agreement.
Highgate Capital Partners was retained in connection with the Company’s strategic alternatives review and is the broker on this transaction.
About In Good Health
In Good Health is a locally owned, female-founded cannabis company serving Massachusetts since 2015. As one of the first dispensaries in the state, In Good Health’s innovative approach has allowed the business to expand and adapt while providing customers with the highest quality products at the most affordable prices. Open 364 days per year, In Good Health boasts one of the largest and most varied menus in the state, with a broad range of products and price points. For more information, visit www.ingoodhealthma.com.
About TILT
TILT Holdings manages a diverse portfolio of companies in the cannabis industry, encompassing technology, hardware, cultivation, and production. Its core business, Jupiter Research LLC, is a wholly owned subsidiary and a global distribution leader in the vaporization segment. Jupiter is dedicated to hardware design, research, development, and distribution to support cannabis brands and retailers across the United States, Canada, South America, and the European Union. Additionally, TILT is a multi-state operator, with cultivation and production facilities in three states under the Commonwealth Alternative Care and Standard Farms brands. For more information, visit www.tiltholdings.com.
Forward-Looking Information
This news release contains forward-looking information and statements (together, “forward-looking information”) under applicable Canadian and U.S. securities laws which are based on current expectations. Forward-looking information is provided for the purpose of presenting information about TILT management’s current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. Forward-looking information may include, without limitation, outcome of the Company’s strategic review of plant-touching assets, the closing of the Transactions, the streamlining of operations, increased focus and growth of Jupiter in relation to any potential divestiture of the plan touching assets, strengthening of TILT’s balance sheet, TILT’s expectations on reductions in corporate overhead and headcount and re-alignment of its business, TILT’s business strategy and growth opportunities, the opinions or beliefs of management, prospects, opportunities, priorities, targets, goals, ongoing objectives, milestones, strategies, and outlook of TILT, and includes statements about, among other things, future developments, the future operations, strengths and strategy of TILT. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “will”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. These statements should not be read as guarantees of future performance or results. These statements are based upon certain material factors, assumptions and analyses that were applied in drawing a conclusion or making a forecast or projection, including TILT’s experience and perceptions of historical trends, the ability of TILT to maximize shareholder value, current conditions and expected future developments, as well as other factors that are believed to be reasonable in the circumstances.
Although such statements are based on management’s reasonable assumptions at the date such statements are made, there can be no assurance that such forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such forward-looking information. Accordingly, readers should not place undue reliance on the forward-looking information. TILT assumes no responsibility to update or revise forward-looking information to reflect new events or circumstances unless required by applicable law.
By its nature, forward-looking information is subject to risks and uncertainties, and there are a variety of risk factors, many of which are beyond the control of TILT, and that may cause actual outcomes to differ materially from those discussed in the forward-looking information. Such risk factors include, but are not limited to, TILT’s ability to find a permanent successor executive, the impact of the announcement of the leadership change on TILT’s stock, performance, operations, results of operations, employees, suppliers and customers, TILT’s ability to successfully work through the leadership transition, TILT’s ability to execute on its business optimization strategy, capital preservation and cash generation, and reductions in corporate overhead and headcount and re-alignment of its business and those risks described under the heading “Item 1A Risk Factors” in the Annual Report on Form 10-K for the fiscal year ended December 31, 2023 and “Item 1A Risk Factors” in the Quarterly Report on Form 10-Q for the quarter ended September 30, 2024 and other subsequent reports filed by TILT with the United States Securities and Exchange Commission at www.sec.gov and on SEDAR+ at www.sedarplus.ca.
Company Contact:
Lynn Ricci, VP of Investor Relations & Corporate Communications
TILT Holdings Inc.
lricci@tiltholdings.com
Investor Relations Contact:
Sean Mansouri, CFA
Elevate IR
TILT@elevate-ir.com
720-330-2829
FAQ
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