Schwazze (once known as Medicine Man Technologies, Inc) today announced their acquisition of Southern Colorado Growers (SCG) in Huerfano County, Colorado. They are paying $6.8 million for the business and $4.5 million for the real estate and farm assets, including 34 acres of land with outdoor cultivation capacity, as well as indoor facilities, greenhouses, hoop houses, and farm equipment. This purchase is the company’s first major move into cultivation. Schwazze has big expansion plans for SCG, starting with the buildout of cultivation capacity over the next four quarters.
“Our team is excited to add SCG, a premier cannabis cultivator, to our growing platform. This acquisition will provide premium quality flower to our 19 Star Buds Colorado locations. In addition, the SCG garden will significantly increase our capability to produce a substantial amount of biomass for our Purplebee’s distillate manufacturing operation, which will benefit the entire cannabis industry throughout the state. The addition of SCG to our portfolio is expected to provide a positive margin impact for Schwazze,” said Justin Dye, Schwazze’s CEO.