Cresco stock continues to gain for the sixth straight session after Cresco Labs Inc (CSE:CL) (OTCQX:CRLBF) announced that it has raised $50 million in a sale-and-leaseback deal of its Lincoln, Illinois facility with GreenAcreage Real Estate Corp.
2019 has not been a kind year for the cannabis sector, and after months of troubles, it seems that many cannabis stocks will end the year in the red. Despite the gloom in the sector, many companies are making interesting moves again, and in a new development, Cresco Labs made a major announcement today with regards to its finances.
The company announced today that it has managed to raise $50 million in a sale and leaseback deal for one of its properties with GreenAcreage Real Estate Corp. The property in question is located in Lincoln, Illinois.
The news is a significant one for two reasons. First of all, Cresco Labs has managed to raise a significant amount of money, and second, the company managed to raise the sum of money without liquidating any of its shares.
Once the announcement was made, Cresco stock rose by as much as 8% and has emerged as one of the cannabis stocks to watch over the next few days.
It should be noted that this is not the first sale and leaseback deal that has been done by Cresco. The company had earlier done a similar deal for a facility in Michigan and another in Ohio. The double deal raised $38 million for Cresco Labs.
First Harvest in Lincoln
This has been a good week for Cresco Labs. Earlier on this week, the company announced that it completed the first harvest from its cultivation facility located in Lincoln, Illinois. It is a very important development for Cresco since the production from the plant in Lincoln can now be used to serve a large customer base in the state of Illinois. The adult-use marijuana space is going to open up in the state from January 1, 2020, and it could prove to be a major boost for Cresco.
Cresco stock has gained 25% this week so far.
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