Vireo Growth Completes Schwazze Asset Acquisition and Expansion

Vireo Growth ( (TSE:VREO) ) has provided an announcement.

On March 19, 2026, Vireo Growth Inc., through its subsidiaries, closed the acquisition of key assets of U.S. multi-state cannabis operator Schwazze, including 24 dispensaries in Colorado, 21 dispensaries in New Mexico, and one manufacturing facility in each state. The assets were transferred to a new majority-owned entity, Vireo Health of Rocky Mountain, LLC, via a public collateral auction in which Vireo credit bid approximately $111 million of Schwazze’s senior secured notes, resulting in the discharge of those notes at closing.

To finance the transaction and related operations, Vireo’s CO Acquisition Vehicle, later acquired by Vireo Health of Colorado, secured a $26 million term loan facility bearing 20% interest and fully drawn after a February 26, 2026 amendment released $15 million of reserved funds. On March 19, 2026, NewCo also entered into a senior secured Loan and Security Agreement providing about $62.7 million in term loans across two tranches at a fixed 12% interest rate, maturing in 2031 and 2033, and secured by substantially all of NewCo’s assets and subsidiaries.

The restructuring support agreement signed on October 10, 2025 laid out a plan for Schwazze’s operational and capital restructuring, including the sale of most of its assets and the eventual wind-down of remaining operations. Following the asset sale and distribution of NewCo equity, an indirect Vireo subsidiary became the majority owner of NewCo, consolidating control of the acquired dispensary network and manufacturing facilities in Colorado and New Mexico.

In corporate governance moves tied to the deal, Vireo announced that Schwazze veteran Justin Dye will become chairman of its Colorado and New Mexico business, while Forrest Hoffmaster will serve as chief executive officer of those regional operations. Management framed the transaction, completed and announced publicly on March 24, 2026, as a disciplined, capital-efficient expansion at an implied valuation of under four times pro forma EBITDA that strengthens Vireo’s retail presence and positions it for scaled growth in these key cannabis markets.

More about Vireo Growth

Vireo Growth Inc., founded in 2014, is a U.S.-based cannabis company that began as a medical marijuana operator and is building a disciplined, strategically aligned platform across the industry. The company focuses on a local market approach leveraged by a national portfolio, deploying capital and industry talent to drive long-term value for customers, employees, shareholders, collaborators, and the communities it serves.

Vireo emphasizes execution-focused growth in regulated cannabis markets, operating retail dispensaries and related manufacturing assets. Its strategy centers on capital-efficient expansion, hiring industry leaders, and maintaining an unapologetic commitment to product quality and customer experience while scaling its footprint in key U.S. states such as Colorado and New Mexico.

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