Cannabis stocks are relatively lower Monday, October 21. Despite this, a few companies managed to climb into positive territory, with MariMed, Inc. (OTCQX:MRMD) being one. At the time of writing, MRMD stock is up around 3%. This trading result comes off of the Massachusetts-based company announcing new acquisitions.
Here's what we know about the latest trading day for MRMD.
MRMD Stock: Moving Higher on Acquisition News
MariMed, Inc. today announced that it acquired two cannabis dispensaries in Illinois. The company said the Illinois Department of Financial and Professional Regulation has authorized the transfer of ownership. The latest MRMD acquisition is a significant step forward for the company, as it means two things. First, MariMed will be able to report the operational results of the two Illinois dispensaries in its consolidated financial statements effective October 1, 2019, according to the press release. It also means the company is one step closer to finalizing the consolidation of its cannabis client businesses that it has grown in several states.
The two Illinois dispensaries are expected to operate as medical and adult-use dispensaries. MRMD is also forecasted to be opening two additional adult-use dispensaries. That would bring the total MariMed dispensaries to four.
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Bob Fireman, CEO of MariMed, is hopeful about the Illinois acquisitions, calling it a "step forward in the implementation of our acquisition and roll-up strategy."
"The ownership of dispensaries in conjunction with Illinois’ legalization of cannabis for adult use should significantly enhance the revenues of these facilities."
MRMD stock appears to be benefitting from the news, trading around 5%.
According to Yahoo Finance, as of 12:47 PM EDT, MRMD is trading at $0.7780 on the OTC market, which puts the cannabis stock up 5.14%. But will it continue moving higher as the day goes on?
Takeaway
What do you think about the latest MariMed acquisitions? Do you see it benefitting the company? Let us know your thoughts in the comments below.
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