Harvest Health & Recreation (OTC:HRVSF) is divesting its relatively sizable portfolio of California dispensaries, and the buyer is a familiar name in the cannabis world.
Harvest and Hightimes Holding — the parent company of storied marijuana magazine High Times — announced in separate press releases that the latter will purchase “certain equity and assets with respect to 13 planned and operational California dispensaries,” from Harvest. Hightimes Holding will pay up to $5 million in cash, $7.5 million in a one-year promissory note with a 10% interest rate, and $67.5 million in its series A preferred stock.
In its press release, Harvest said that it will keep certain dispensaries, as well as licenses for potential retail locations in the state. It did not provide further details.
“This planned divestment of select retail assets in California allows Harvest to focus on optimizing operations and expanding assets in core