Vireo Growth Inc Stock Price, News & Analysis

Vireo Growth Inc. (VREOF) has provided significant corporate updates following the completion of multiple merger transactions that have established it as a major U.S. multi-state cannabis operator with operations in six states. The company projects Q2 2025 pro forma revenue of $88-91 million and adjusted EBITDA of $23-24 million, assuming merger closings as of April 1, 2025. Vireo is actively pursuing debt refinancing with multiple non-binding term sheets signed for its senior secured debt, expecting more favorable terms due to improved profitability. Post-refinancing, the company anticipates a cash position exceeding $100 million. Following the mergers, Vireo reports 949,254,483 basic shares outstanding on an as-converted basis and 1,087,283,616 shares on a fully-diluted basis.

Vireo Growth Inc. (VREOF) has completed its acquisition of Deep Roots Holdings, a Nevada-based cannabis operator, for $132.7 million in an all-stock transaction. The deal involves issuing 255.2 million Subordinate Voting Shares at $0.52 per share. Deep Roots, established in 2023, operates a 54,000 square foot cultivation and manufacturing facility and ten retail dispensaries in Nevada, with strategic locations near the Utah border. The company also holds investments in California, Ohio, and Massachusetts operations. The purchase price represents 4.175x Deep Roots' 2024 Closing EBITDA of $30 million, with clawback provisions if 2026 EBITDA falls below the Closing EBITDA. Selling shareholders agreed to a 33-month phased lock-up period for their shares.

Vireo Growth has completed its acquisition of Proper Brands in Missouri through its subsidiaries NGH Investments and Proper Holdings Management. The deal, valued at $102.0 million, was paid entirely in Vireo stock with 196.2 million Subordinate Voting Shares at $0.52 per share. Proper Brands, established in 2022, operates 11 retail dispensaries primarily in St. Louis, with one location in Kansas City and an additional undeveloped license. The company features a 100,000+ square foot cultivation and manufacturing facility and is implementing the Arches technology platform for home delivery. The purchase price represents 4.175x Proper's 2024 Closing EBITDA of $31 million. The deal includes clawback provisions tied to 2026 EBITDA performance and share lock-up provisions spanning 33 months.

Vireo Growth Inc. (VREOF) has successfully closed two strategic acquisitions: WholesomeCo Cannabis, a dominant player in Utah's medical market, and the Arches proprietary technology platform for a total of $69.8 million. The deal was executed through 134.2 million Subordinate Voting Shares at $0.52 per share.

The Wholesome acquisition, valued at 4.175x its 2024 Reference EBITDA of $16 million, includes clawback provisions tied to performance milestones through December 2026. Shareholders agreed to a 33-month lock-up period. The company also expects to close pending mergers in Missouri and Nevada in Q2 2025.

Vireo Growth reported its Q1 2025 financial results with revenue of $24.5 million, up 1.9% year-over-year. The company posted gross profit of $12.4 million with a margin of 50.6%, while Adjusted EBITDA reached $6.6 million with a margin of 26.8%. Operating income declined 58.5% to $2.0 million. The company maintained strong liquidity with $86.3 million in cash and total current assets of $128.5 million. Vireo experienced growth in Maryland, stable performance in Minnesota, and declining medical sales in New York, offset by new adult-use sales. The company expects to begin closing its pending merger transactions in Q2 2025, including Utah transactions with Wholesome Cannabis and the Arches technology platform.

Vireo Growth has scheduled the release of its first quarter 2025 financial results for May 9, 2025, before market opening. The cannabis company, trading under symbols CSE: VREO and OTCQX: VREOF, will follow the release with an investor conference call at 8:30 a.m. ET (7:30 a.m. CT).

Stakeholders can participate in the conference call through multiple channels:

• US/Canada Toll-Free: 1-888-672-2415
• International Toll: 1-646-307-1963
• Conference ID: 3718174

Additionally, interested parties can access a live audio webcast through the Events & Presentations section of Vireo's Investor Relations website or via the provided Q4 link.

Vireo Growth (CSE: VREO; OTCQX: VREOF) has announced key updates regarding its previously-announced Merger Transactions, expected to close in Q2 2025. The company has filed its Definitive Information Circular on March 21, 2025, which includes proforma financial information for the combined company and audited financial data for 2023-2024 for all merger targets.

The company has secured required shareholder approval through written consent for the Merger Transactions and the issuance of Subordinate Voting Shares (SV Shares) as consideration. The issuance is significant as it will exceed 100% of the company's total outstanding voting equity shares.

Regulatory approvals have been obtained for the Utah transactions, including Wholesome Cannabis and the Arches technology platform. The Missouri and Nevada transactions are progressing as planned for Q2 2025 closure, pending CSE approval and satisfaction of customary closing conditions.

Vireo Growth (VREOF) reported strong financial results for Q4 and full year 2024, achieving record performance metrics. FY2024 revenue reached $99.4 million, marking a 15.4% year-over-year increase excluding discontinued operations. Q4 2024 revenue was $25.0 million, up 3.5% year-over-year but flat sequentially.

The company ended FY2024 with $91.6 million in cash following a successful private placement in December, where investors subscribed for 129,536,874 shares at $0.625 per share, raising approximately $81 million. Q4 results included one-time transaction expenses of $4.2 million related to pending merger transactions.

Additionally, Vireo secured two significant loans through its Minnesota subsidiary: a $11.5 million facility at 10.5% interest for a new indoor cultivation facility, and a $15.0 million commercial loan from Stearns Bank at 9.25% interest.

Vireo Growth Inc. (CSE: VREO; OTCQX: VREOF) has announced it will release its fourth quarter and full year 2024 financial results on March 4, 2025, before market opening. The company will host a conference call with investors on the same day at 8:30 a.m. ET (7:30 a.m. CT). Interested parties can join via phone using toll-free number 1-800-715-9871 (US and Canada) or 1-646-307-1963 (International) with conference ID 3718174. A live audio webcast will be available through the company's Investor Relations website.