Planet 13 Advances Florida Expansion with Strategic Acquisitions

LOS ANGELES- Las Vegas-based multistate cannabis operator Planet 13 Holdings Inc. is poised to expand its footprint in the Florida medical cannabis market following regulatory approval to sell its existing license in the state. The company announced on April 29 that it received approval for the sale of its subsidiary, Planet 13 Florida Inc., to SGW FL Enterprises LLC. The agreement, involving a $9 million cash transaction for all shares of Planet 13 Florida, paves the way for a larger acquisition.

This sale is a prerequisite for Planet 13’s pending acquisition of VidaCann, valued at approximately $49 million. VidaCann, which operates 26 medical cannabis dispensaries across Florida, represents 4.1% of the state’s medical cannabis retail outlets. This acquisition is part of Planet 13’s strategy to enhance its market presence significantly in Florida, particularly as the state approaches a potential shift to adult-use cannabis legalization this November.

Co-CEO of Planet 13, Larry Scheffler, highlighted the strategic importance of the acquisition, noting that VidaCann ranks among the top ten Florida cannabis operators by retail network size and is known for its high-quality products and customer service. The integration of Planet 13’s retail and product brands with VidaCann’s established operations is expected to provide a strong platform for growth, especially with the anticipated legalization of adult-use cannabis.

The Florida Office of Medical Marijuana Use (OMMU) has given the final regulatory approvals needed for both the sale of Planet 13 Florida and the acquisition of VidaCann. With these approvals in place, Planet 13 has extended the closing date of the VidaCann transaction to May 31, 2024, with expectations to finalize the deal by then. This strategic move marks a significant step in Planet 13’s efforts to expand its influence and operational capabilities within the burgeoning Florida cannabis market.