Harvest Health and Recreation (CSE: HARV) this morning announced that it has completed the initial closing of certain retail assets in California to that of High Times. All but two retail licenses agreed to under the amended purchase and sale agreement have seen ownership transfer as a result of the initial closing.

With the initial closing completed, Harvest has sold the equity and assets of eight operational and planned dispensaries within the Golden State to that of High Times Holdings. In connection with the sale, Harvest is to receive total consideration of $61.5 million. Consideration is to include $1.5 million in cash and $60.0 million in Series A Preferred shares of Hightimes Holdings, the owner of the High Times brand.

The two additional retail licenses yet to see ownership transfer will consist of $6 million in consideration, payable in Hightimes Holdings shares. The second closing is subject to “various closing conditions and contingencies including third party and regulatory approvals.” As a result, a timeline was not provided for this second closing.

Harvest Health and Recreation last traded at $1.18 on the CSE.

Information for this briefing was found via Sedar, and Harvest Health and Recreation. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.