Philly-area marijuana start-up sold for $125 million

Ilera Healthcare, the Plymouth Meeting medical marijuana start-up, announced on Friday that it was being acquired by a Canadian cannabis giant, TerrAscend, in a deal that was valued at $125 million to $225 million.

The $225 million valuation includes payments that are tied to future revenue and profitability targets.

Ilera was among the first companies to be awarded a “super license” by Pennsylvania. In 2016, the firm won a permit to operate a cultivation facility in Fulton County and three dispensaries in the Southeastern region of the state. Ilera distributes dried flower, concentrates, tinctures, and topicals to 50 of Pennsylvania’s 52 medical cannabis dispensaries.

TerrAscend is based in Ontario, Canada, where it cultivates marijuana in a 67,300-square-foot facility and directs the nationwide Solace Health, Solace Health Network, and Solace Rx. In the U.S., it owns and operates Apothecarium dispensaries in California and Nevada. It also markets the Haven St. cannabis brand.

TerrAscend agreed to acquire 100 percent of the equity in Ilera with a combination of cash and TerrAscend shares. The transaction, if approved by the Pennsylvania Department of Health, is expected to close in the fourth quarter of this year.