Cresco Labs Inc. has completed its acquisition of cannabis brand and distribution company Origin House.
Origin House shareholders received 0.7031 subordinate voting share of Cresco for each Origin House share held. Holders of class A compressed shares of Origin House ultimately received 70.31 Cresco shares for each Origin House compressed share.
Cresco acquired 94,558,120 Origin House shares in exchange for 66,483,798 Cresco shares.
The acquisition expands Cresco's distribution network to over 575 California dispensaries, or about 65% of the state's cannabis storefronts.
As part of the deal, Cresco will add Origin House Chairman and CEO Marc Lustig to its board after getting certain U.S. regulatory approvals.
Origin House will be delisted from the Canadian securities exchange at market close Jan. 9.
In April 2019, Cresco called the deal the largest acquisition of a public company in the U.S. cannabis sector.
Cresco Labs manufactures medical cannabis products in the U.S.