SAN JOSE – TPCO Holding Corp. (The Parent Company) (NEO: GRAM.U) (OTCQX: GRAMF), a consumer-focused California cannabis company, announced that it has acquired the remaining 15% equity of its Calma Weho LLC dispensary following receipt of all necessary regulatory approvals.
Located in the Los Angeles metropolitan region, the 3,250-square-foot dispensary is one of only eleven stores in the West Hollywood area that is licensed for storefront retail and is surrounded by cultural destinations and tourist attractions in every direction. Since the first closing, the Company has rolled out its full brand offering and recently debuted its Monogram “store within a store” concept, providing consumers a curated experience of the Monogram brand and line of products.
“The energy and excitement at Calma are fantastic, and it boasts the best flower assortment in West Hollywood,” said Troy Datcher, Chief Executive Officer and Chairman of The Parent Company. “It’s both a beautiful dispensary and an incredible gathering space that we have used to host events and collaborations, including our recent FaZe Rain RCVRY product launch, which saw phenomenal community response and surpassed our expectations. With an intentional menu selection that showcases a variety of consumption methods, Calma caters to both those about to embark on their cannabis journey as well as experienced connoisseurs, and we are thrilled to have now completed the acquisition.”
In connection with the final closing of the acquisition, The Parent Company issued in aggregate $1.5 million common shares of the Company to equity holders of Calma.
Caution Regarding Cannabis Operations in the United States
Investors should note that there are significant legal restrictions and regulations that govern the cannabis industry in the United States. Cannabis remains a Schedule I drug under the U.S. Controlled Substances Act, making it illegal under federal law in the United States to, among other things, cultivate, distribute, or possess cannabis in the United States. Financial transactions involving proceeds generated by, or intended to promote, cannabis-related business activities in the United States may form the basis for prosecution under applicable U.S. federal money laundering legislation.
While the approach to enforcement of such laws by the federal government in the United States has trended toward non-enforcement against individuals and businesses that comply with medical or adult-use cannabis programs in states where such programs are legal, strict compliance with state laws with respect to cannabis will neither absolve The Parent Company of liability under U.S. federal law, nor will it provide a defense to any federal proceeding which may be brought against the Company. The enforcement of federal laws in the United States is a significant risk to the business of The Parent Company and any proceedings brought against the Company thereunder may adversely affect the Company’s operations and financial performance.
(This information is primarily sourced from TPCO Holding Corp. Highly Capitalized has neither approved nor disapproved the contents of this news release. Read our Disclaimer here).