- April 22, 2020
- Posted by: Waldon
- Categories:
| Company Name | Misty Mountain Acquisitions |
|---|---|
| Contact Name | Patrick Barry |
| Contact Email | Email hidden; Javascript is required. |
| Contact Phone | (312) 444-6361 |
| Opportunity Name | Cannabis roll-up with pre-determined exit |
| Location of Business | Chicago, Michigan, Colorado |
| When was the business started? | 2022 |
| What is the business most known for? | Acquiring dispensaries |
| Who is/are owner/owners? | Principals of Granite Hall Partners, Mark de Souza, Kevin Sarsany |
| Why sell the business? | Exiting the business smoothly is part of its construct. This is a roll-up that, either in 2 years or when we reach the proper scale, will be acquired by our strategic partners in this venture - PharmaCann. |
| Are you looking to recapitalize the business by selling a majority stake to aggressively take the business to next level? | We are selling up to 44% of the company in this round. We welcome strategic investors. |
| Who will remain on the ownership level? | The management team and current investors. |
| Is the owner(s) planning to stay around? If so, what is their thinking? | The management team will stay with the company through its exit. |
| What is the maturity level of the business? | Pre Revenue |
| EBITDA or Profit for same period | 0 |
| Trailing 12 Month Revenue | 0 |
| Trailing 12 Month EBITA | 0 |
| Any significant debt on the business? | No |
| Why did the business start? | We formed Misty Mountain Acquisitions to roll up dispensaries in Michigan and Colorado, and potentially other states. We are doing this in partnership with PharmaCann which is the largest private cannabis company in the world. PharmaCann is an 8-state operator that seeks a larger footprint in MI and CO. One of the founders of Misty Mountain, Patrick Barry, is on the Board of Directors of both PharmaCann and Misty Mountain. |
| Why did the business start? | We formed Misty Mountain Acquisitions to roll up dispensaries in Michigan and Colorado, and potentially other states. We are doing this in partnership with PharmaCann which is the largest private cannabis company in the world. PharmaCann is an 8-state operator that seeks a larger footprint in MI and CO. One of the founders of Misty Mountain, Patrick Barry, is on the Board of Directors of both PharmaCann and Misty Mountain. |
| How did business get to where it is at? | The partners working together have gotten us to a good place - we have four dispensaries in MI about to re-launch as Misty Mountain Cannabis stores. So, the roll-up has begun. |
| Aggregations or Organic growth? | We acquired 3 shuttered and one operating dispensary. |
| Any tailwinds or headwinds facing business/sector? | The sector is challenged by its continued federal illegality and by a lack of capital in the space. However the operators are experienced cannabis operators including as board members and CEOs and have been operating in this environment for 7 years. |
| Sector insights from owner and what the opportunity going forward with new owner might look like? | These federal regulations are about to change and will improve the operating environment for Misty Mountain and other cannabis operations. |
| What is the unique story of business -- how is it different then their competition –what makes them better/worse? | We have a joint venture with PharmaCann which provides for an orderly sale of the business at fair market value in 2 years. Thus we have a pre-determined exit which is rare in a private investment or company. |
| Provide any additional notes, information or data that supports this opportunity | With Cannabis about to be re-scheduled, and with banking regulations advancing very far in legislative chambers, this is an opportune time to take advantage of distress and fatigue in the market. The team behind Misty Mountain has already deployed, successfully, $135 Million into cannabis companies and also served as CEO of one of the largest multi-state cannabis companies. We are an experienced team that has a joint venture with a large, sophisticated company in the form of PharmaCann. |
| Date Created | October 27, 2023 |
| Date Updated | October 27, 2023 |