TerrAscend Receives Regulatory Approval for Acquisition of Peninsula Alternative Health, Expanding Maryland Footprint

LOS ANGELES-TerrAscend Corp. North American cannabis operator, announced today that it has obtained regulatory approval from the Maryland Cannabis Administration (MCA) for its planned acquisition of Peninsula Alternative Health, a well-established medical dispensary in Maryland. The acquisition, initially disclosed on June 8, 2023, will fortify TerrAscend’s presence in Maryland ahead of the forthcoming launch of adult-use sales, scheduled to commence on July 1, 2023. The finalization of the transaction is anticipated to occur imminently.

Expressing his delight, Jason Wild, the Executive Chairman of TerrAscend, emphasized the expeditious approval process, stating, “We are thrilled to receive regulatory approval for this acquisition just 10 days after signing the definitive agreements.” Wild further highlighted the impeccable timing, as the approval positions TerrAscend to conclude the acquisition prior to the inauguration of Maryland’s adult-use program. He expressed confidence in Peninsula’s prospects, projecting it to swiftly become one of the company’s highest-performing dispensaries nationwide. Additionally, Wild revealed ongoing progress in securing definitive agreements for the acquisition of two more dispensaries in Maryland in the coming weeks. He expressed optimism about replicating the level of success achieved in New Jersey during the first 14 months of their adult-use program.

Peninsula Alternative Health, situated strategically near the Delaware border in Salisbury, Maryland, has established itself as one of the top-performing medical dispensaries in the state. With an impressive net revenue run rate of approximately $14 million in 2023, the 8,500 square foot dispensary faces no direct competition within a 25-mile radius. TerrAscend intends to capitalize on this advantageous location and aims to drive significant sales and margin improvements by offering a comprehensive selection of its premium brands, including Kind Tree, Gage, Cookies, and Wana. Following the completion of the transaction, TerrAscend’s retail footprint will expand to 35 dispensaries across the nation.

The acquisition of Peninsula Alternative Health aligns with TerrAscend’s strategic growth plans and underscores its commitment to expanding its operations in key markets. With vertically integrated operations in Pennsylvania, New Jersey, Maryland, Michigan, and California, along with retail operations in Canada, TerrAscend has established itself as a leading cannabis operator in North America. The company’s cultivation, processing, and manufacturing facilities, coupled with its high-quality cannabis products, enable it to cater to both the medical and legal adult-use markets. TerrAscend also boasts a portfolio of complementary businesses and brands, including Gage Cannabis, The Apothecarium, Ilera Healthcare, Kind Tree, Legend, State Flower, and Valhalla Confections.