TREES CORPORATION Announces Definitive Agreement to Acquire the Assets of Green Tree; Further… | New

DENVER, Sept. 19, 2022 (GLOBE NEWSWIRE) — TREES CORPORATION (OTCQB: CANN) (“TREES” or the “Company”) is pleased to announce that it has signed definitive documents to acquire the Green Tree Longmont and the Green Tree Berthoud dispensaries in the state of Colorado, over 34,000 square feet of growing operations and a state-of-the-art manufacturing facility (“Green Tree”). This acquisition will add to the company’s current presence in Colorado and bring the total number of dispensaries in Colorado to 4 as well as 3 operating stores in Oregon, for a total of 7 retail dispensaries.

The acquisition is expected to generate over $10 million in revenue with strong EBITDA margins within the TREES platform. Trees will acquire Green Tree for a combination of cash and shares. The Company is in the process of submitting the Change of Ownership Application to the Colorado Marijuana Enforcement Division for all assets to be acquired and expects the acquisition to close in the fourth quarter of 2022.

In conjunction with the acquisition, the company is pleased to announce the appointment of Edward Myers, 63, as Chief Operating Officer, effective September 16, 2022, bolstering its executive talent pool. Mr. Myers served as an operational and financial consultant for the Company. Mr. Myers has over 40 years of operational experience in the payments industry and has held several senior positions, including President of Global Payments North America from 2004 to 2010.

When the transaction closes, Green Tree’s senior management will become an important part of the Trees team. Allyson Feiler, the founder of Green Tree, will become a member of Trees’ board of directors and join the management team as chief marketing officer. Loree Schwartz, owner, chief financial officer and chief compliance officer of Green Tree, will also join the Trees leadership team as chief compliance officer.

Carl Williams, Chairman of the Board, said: “This is an exciting time for the Trees organization as the past two years of hard work begin to pay off. We have developed a rich pipeline of targeted acquisitions and continue to improve our internal capabilities. We welcome the entire Green Tree team to the organization and see this as one more step in becoming one of the strongest operational players in the Colorado market. With the recent closure of $13.5M Senior Secured Convertible Notewe are poised to continue to roll out above-average revenue-generating dispensaries, strengthen our internal team, and expand our footprint in Colorado in a disciplined manner.

ABOUT TREES

TREES is the parent company of a vertically integrated cannabis company and multi-state operator in the United States, operating in Colorado and Oregon. TREES pursues a strategy of rolling-up licensed assets in mature markets, while maintaining loyal and local customer bases. TREES currently owns and operates a 17,000 square foot light-deprivation greenhouse cultivation facility in Boulder, Colorado, a dispensary in Englewood, Colorado and three dispensaries in Portland, Oregon. TREES trades on the OTCQB market under the symbol CANN. For more information, please visit canntrees.com.

Forward-looking statements

This press release contains “forward-looking statements” within the meaning of applicable securities laws. Forward-looking statements can be identified by the use of words such as “anticipate”, “believe”, “expect”, “estimate”, “plan”, “outlook” and “project” and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Forward-looking statements are not guarantees of future performance and are based on a number of management estimates and assumptions in light of experience and management’s perception of trends, current conditions and expected developments, and other factors relevant in the circumstances. Although TREES believes that the expectations and assumptions on which these forward-looking statements are based are reasonable, caution should be exercised in relying on these forward-looking statements, as TREES cannot guarantee that they will prove to be accurate. Actual results and developments may differ materially from those contemplated by such statements. Forward-looking statements are subject to a variety of risks and uncertainties that could cause actual events or results to differ materially from those projected in the forward-looking statements. These risks and uncertainties include, but are not limited to, current and future market conditions; the expected or potential impact of the COVID-19 pandemic on TREES’ business operations, financial results and position, as well as on the global economy and volatility, risks related to federal, state laws, rules and regulations , local and foreign, including changes in the regulation of medical and recreational use of cannabis; as well as the risks and uncertainties discussed from time to time in TREES’ most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q under the heading “Risk Factors” and in subsequent filings with the Securities and Exchange Commission. The statements contained in this press release are made as of the date of this press release. TREES assumes no obligation to update any forward-looking statements made herein.

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