The transaction reinforces iAnthus’ commitment to brand innovation, while enabling multi-state expansion for Cheetah. product wallet
Michael Piermontco-founder and CEO of Cheetah, and former Leaf CRO Trade will join iAnthus Executive Team
NEW YORK And TORONTO, December 30, 2024 /CNW/ – iAnthus Capital Holdings, Inc. (“iAnthus” or the “Company”) (CSE: IAN) (OTCQB: ITHUF), which owns, operates and partners in regulated cannabis operations through the United Statesannounced today that it has entered into an asset purchase agreement (the “Purchase Agreement”) with Cheetah Enterprises Inc. (the “Seller”), pursuant to which iAnthus will acquire the Cheetah vape brand, a brand rapid growth known for its superior quality and disruptive presence in the Illinois’ cannabis market. (the “Acquisition”).
This acquisition marks a key milestone in iAnthus’ ongoing strategy to expand its portfolio of consumer-focused cannabis brands and drive long-term growth. The Cheetah brand has become synonymous with innovation and quality, offering premium live resin vape products that have caught the attention of cannabis enthusiasts. By integrating Cheetah into its portfolio of brands, iAnthus expands its presence in the Illinois & Pennsylvania cannabis markets – with further expansion planned throughout 2025. The acquisition is expected to strengthen iAnthus’ revenue growth, while giving Cheetah the resources and distribution network to increase its market penetration in Illinois and other key states. Through iAnthus’ expansive footprint, this transaction paves the way for Cheetah to become a national leader in the vape category, providing a new level of excitement and choice for cannabis consumers. Together, iAnthus and Cheetah will leverage shared resources, operational efficiencies and a unified brand strategy to capitalize on growth opportunities across the country.
As part of the Acquisition, Michael Piermontco-founder and CEO of Cheetah, will join iAnthus as chief commercial officer. Piermont’s experience in growth, brand development and technology innovation – including his tenure as CRO of Leaf Trade, which was successfully acquired by LeafLink in November 2024 – will help maximize the potential of Cheetah and iAnthus’ broader brand portfolio.
“We’re building a platform where bold brands can thrive, and Cheetah fits that mold perfectly,” said Proud RichardCEO of iAnthus. “Cheetah’s innovative approach to the vaping market reflects the agility, precision and speed with which we are building iAnthus. This acquisition gives us the momentum we need to win with consumers, expand into new markets and attract the best talent in the industry to our organization. “
Michael PiermontCEO and co-founder of Cheetah commented: “From day one, Cheetah’s mission has been to be fearless, fast-paced and innovative to our consumers – qualities that clearly align with iAnthus’ vision for the future cannabis. We’re excited to join forces with a team that recognizes the power of brand authenticity, the impact of thinking outside the box, and the importance of staying ahead of the curve in this industry.
Transaction details
Pursuant to the Purchase Agreement, iAnthus will acquire substantially all of Seller’s assets related to and used in connection with Seller’s wholesale cannabis business, including the manufacturing, marketing and sale of distillate vaporization products. of cannabis in the States of Illinois And Pennsylvania under the “Cheetah” brand (the “Brand”), but excluding certain excluded assets (collectively, the “Purchased Assets”), as well as certain assumed liabilities related to the Purchased Assets.
The purchase price (the “Purchase Price”) for the assets purchased includes: ordinary shares in the capital of the Company (“Shares”) at a deemed aggregate value of approximately US$1.5 million (the “Share Consideration”), which will be issued in three (3) tranches. The shares are issued at a deemed price of US$0.012which represents a premium to the current market price for the shares. The shares will be issued following closing in three tranches and are subject to approval by the Canadian Securities Exchange. The purchase price also includes non-material cash payments in four (4) installments payable upon the achievement of certain performance criteria and additional consideration based on EBITDA generated by the brand after closing and certain other performance measures , payable in cash at various intervals until April. 1st 2028.
The Shares to be issued as consideration for the Shares will be issued pursuant to a prospectus exemption under the Canadian Securities Act and will be subject to a Canadian hold period expiring of four months and one day from the date(s). resignation. The Shares will be issued pursuant to an exemption from the registration requirements under the United States Securities Act of 1933, as amended (the “US Securities Act”) provided by Rule 903 of Regulation S promulgated under the US Securities Act. Act. The Shares have not been and will not be registered under the US Securities Act and may not be offered or sold in the United States or to, or for the account or benefit of, “U.S. Persons” (as that term is defined in Regulation S under the U.S. Securities Act) absent registration or an exemption from the registration requirements of US Securities Act and applicable state securities laws. The Shares will be issued as “restricted securities” within the meaning of Rule 144(a)(3) of the US Securities Act. This press release shall not constitute an offer to sell or the solicitation of an offer to buy the shares or any other security, nor shall there be any sale of the shares in any jurisdiction in which such offer, solicitation or sale would be illegal.
About iAnthus
iAnthus owns and operates licensed cannabis cultivation, processing and dispensary facilities nationwide. the United States. For more information, visit www.iAnthus.com.
Forward-looking statements
The statements contained in this press release contain forward-looking statements. These forward-looking statements are made based on management’s current beliefs, expectations and assumptions, are not guarantees of performance and are subject to important risks and uncertainties. These forward-looking statements should therefore be considered in light of various important factors, including those set forth in the Company’s reports that it files from time to time with the SEC and Canadian securities regulatory authorities and which you should review, including, but not limited to. , the company’s annual report on Form 10-K filed with the SEC. When used in this press release, words such as “will”, “may”, “plan”, “estimate”, “expect”, “intend”, “may”, “potential,” “believe,” “should” and similar expressions are forward-looking statements. Forward-looking statements may include, without limitation, statements relating to the acquisition, including the expected closing date thereof, the payment of the purchase price and the addition of Mr. Piermont to the management team of the Company, as well as other statements relating to the financial situation of the Company. performance, business plans, development and operating results.
These forward-looking statements should not be relied upon as predictions of future events, and the Company cannot assure you that the events or circumstances discussed or reflected in these statements will be realized or occurred. If these forward-looking statements prove inaccurate, the misstatement could be material. You should not rely on these statements as a representation or warranty by the Company or anyone else that it will achieve its objectives and plans within any specified time frame, or at all. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company undertakes no obligation to publicly update or release any revisions to these forward-looking statements, whether as a result of new information, future events or otherwise, after the date of this press release or to reflect the occurrence of unforeseen events, except in the following cases: required by law.
Neither the Canadian Securities Exchange nor the United States Securities and Exchange Commission have reviewed, approved or disapproved the contents of this press release.
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SOURCE iAnthus Capital Holdings Inc.
