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Schwazze Raises $34M To Support Purchase Of Star Buds Stores

The Colorado company completed the latest tranche of preferred equity, bringing its total raise to $56 million. CRW Capital Cann Holding LLC, an affiliate of Dye Capital, led the latest investment round alongside other investors.   Schwazze managed to collect $71 million in financing since December, including the latest round. Under the private placement, the company issued and sold a total of around 56,000 Series A Cumulative Convertible Preferred shares with a price of $1,000 per share. The securities were presented by DelMorgan Group LLC and the Benchmark Company LLC. Schwazze also completed a debt financing of $15 million, out of which $5 million will be funded as part of an undisclosed purchase.

Schwazze Acquires Two Additional Star Buds Dispensaries in Colorado

Posted on 8500 Schwazze, formerly operating as Medicine Man Technologies Inc. (OTCQX: SHWZ) (“Schwazze ” or “the Company”), today announced that it has closed on the asset purchase of an additional two Star Buds Colorado dispensaries located in Denver, CO. This follows the successful acquisition and integration of six Star Buds retail locations in Colorado in December 2020. The Company plans to acquire the remaining five Star Buds in Colorado by the end of March, for a total of 13. Total consideration for this most recent acquisition was approximately $9.3 million, consisting of $3.5 million in cash, $3.5 million in sellers’s notes, and $2.3 million in Preferred Stock (at a price of $1,000 per share).

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