Ayr Wellness, based in Miami, recently entered into an agreement to acquire Dispensary 33’s two retail stores.

Purchase consideration is expected to consist of $55 million upfront, including $12 million of cash, $3 million of sellers notes and $40 million of stock.

Dispensary 33 operates two locations in Chicago, one on North Clark Street in the Andersonville neighborhood, and the other on West Randolph Street in the West Loop.

In July, Ayr Wellness also entered into a definitive agreement to acquire two Herbal Remedies Dispensaries.

The two Quincy Herbal Remedies Dispensaries and the two Dispensary 33 shops were some of the last independent-owned shops left in Illinois and two of the first dispensaries to open in Illinois.

Herbal Remedies was among the first cannabis dispensaries licensed in 2013.

The first Dispensary 33 retail store at 5001 N. Clark Street opened December 2015 and sold the first recreational cannabis product in January 2020.

The terms of the transaction include consideration of $30 million, made up of $10 million in stock, $12 million in seller notes and $8 million in cash. Based on current projections, the

Ayr Wellness Inc. is a vertically-integrated cannabis multi-state operator. With Illinois, Ayr Wellness will be operating in eight states.

“In any market where we operate, our goal is to develop scale and meaningful presence,” said Jonathan Sandelman, Founder, Chairman and CEO of Ayr. “Today’s announcement builds on our existing foundation in Illinois, which we began building just a few months ago with the proposed acquisition of two stores in Quincy, Illinois. Since then, we have sought opportunities to deepen our presence, beginning with our social equity partner, Land of Lincoln, which was selected for a dispensary license in Bloomington, and today’s proposed acquisition of Dispensary 33 in Chicago, which, when completed, will give us a presence in two of Chicago’s most desirable neighborhoods. We will continue to seek opportunities to expand in Illinois.”

The acquisition is subject to customary closing conditions and regulatory approvals, as well as the execution of the Purchase Agreement.