Harborside, a California based cannabis dispensary brand with multiple locations, is planning the reverse takeover of Canadian public company Lineage Grow Company Ltd. (CSE: BUDD).
Lineage is set to acquire all of the issued and outstanding securities of Harborside in exchange for issued common shares of Lineage worth roughly $200 million dollars Canadian. All of the outstanding shares will be acquired at a set price of $0.165 per share.
The remaining company after the reverse takeover will called Harborside, Inc. Lineage Grow Company Ltd. is expected to file an
application with the Canadian Securities
Exchange to approve the transaction.
Harborside has 200,000 current registered customers at their chain of dispensaries located in Oakland and San Jose, California. Their company plans to go public in Canada in order to raise the necessary funds to expand their cultivation campus in Salinas California, the continued development of retail management services business segment, and for general working capital for the company.
Steve DeAngelo, Chairman Emeritus and Co-Founder of Harborside, said, “We hoped to demonstrate cannabis can bring benefits to communities instead of harm, to encourage further reform, and in time provide an unrivaled and trusted experience in an adult use market.That time has now arrived, so I am delighted to see Harborside merging with Lineage, which will allow us to access the Canadian capital markets, position Harborside for unparalleled growth and opportunity, and bring our gold standard approach and branded products to more communities and greater numbers of consumers.”