You are reading this week’s edition of New Cannabis Ventures, a weekly magazine we have published since October 2015. The newsletter includes unique insight to help our readers stay ahead of the curve, as well as links to the most important news of the week. We no longer email them like we used to, but post this and all newsletters on our website here.

friends,

About three months ago, this newsletter talked about cannabis stock traders care a lot about MSOs again, but that they weren’t paying attention to an older MSO that was in the process of getting much bigger, Vireo Growth. As I mentioned at the time, despite its very large size, Vireo Growth failed to join the Global Cannabis Stock Index due to its low trading volume. Yesterday I went through the quarterly rebalancing process for the upcoming new quarter, which starts seven days from the close of trade, and Vireo still doesn’t qualify. The price then topped the low of $0.50 at $0.5682, but the stock has traded an average of just 221,000 shares per day over the past month. The dollar volume is about $100,000, which is well below the required minimum.

I shared that there weren’t many analysts following Vireo three months ago, and that remains the case. The Vireo Growth website has no analysts listed on it analyst coverage pageSeeking Alpha shares analyst estimates, noting that there is one analyst. I use a system, Koyfin, and it has the same ratings. As I mentioned, Zuanic & Associates does cover the stock, but I don’t think its ratings are included in the consensus. It expects Vireo’s revenue to grow to $436 million in 2026 from $259.9 million in 2025, according to a report in mid-November.

Since then, the company has announced two pending transactions and purchased a large number of senior convertible debt Schwazze at a discounted price. This month, the company said it was buying some assets PharmaCann: in Colorado and that it goes to Eaze to enter California and Florida. Vireo is very active in consolidating the cannabis industry. A year ago, the company was located in Minnesota, which was used for adults, and Maryland, and it had a failed business in New York. Its Q3 report reflected acquisitions in Missouri, Nevada and Utah. Total revenue of $91.7 million includes $12.0 million in Minnesota, $10.4 million in Maryland, $6.1 million in New York (mostly wholesale) and $63.2 million from new states. The Vireo is up NCV revenue ratingReaching #7 among MSOs with positive operating income in the third quarter;

While Vireo Growth is No. 7 among MSOs by revenue, it is No. 11 in the AdvisorShares Pure US Cannabis ETF ( MSOS ), which has a holding of just 0.6% of the fund. The 9.51 million shares controlled by MSOS are down from last week as the ETF faced some redemptions, but it’s still well up from 6.9 million shares at midyear and 6.7 million at the end of 2024. At the end of June, the share was 1.0% of the ETF, so it’s down. The top three positions represent an average of 22.4% MSOS each, which is 36X greater than the VREOF position. This is not at all consistent with its market share or market cap.

Vireo Growth made a very large capital raise in late 2024, selling $81 million a share at $0.625, and it recently traded below that level and closed there today. It issued a lot of shares to cover its acquisitions. In fact, the company reports more than 1 billion shares outstanding. The stock ended 2024 at $0.56, so it’s up 11.6% this year. This compares with the Global Hemp Stock Index at 6.92, up 0.6%, and MSOS returning 24.7%.

I think cannabis investors should keep a close eye on Vireo stock for a sign of the health of the overall cannabis sector. At 420 Investor, I include 19 hemp stocks in my Focus List, and this group does not include Vireo Growth. I keep an eye on it though because it is part of a group of 7 stocks that I have on my stock watchlist to potentially add to the Focus List. While it is not in the index, the other six are or will be in a week.

I wish the best for Vireo Growth and a Merry Christmas to all New Cannabis Ventures readers.

Sincerely,

Alan:

New Cannabis Ventures publishes curated articles as well as exclusive news. Here is what we published last week.

Exclusives

Canadian hemp sales sank in October in B.C

M&A:

Vireo bought Eaze for $47 million in stock

Follow Alan for real-time updates X.com:. Share and discover industry news with like-minded people on the largest group of cannabis investors and entrepreneurs LinkedIn:.

View: Public Hemp Company Revenue and Earnings Trackingwhich ranks the highest-earning hemp stocks.

Stay on top of the most important communications from public companies by watching what’s coming cannabis investor calendar.

Based in Houston, Alan leverages his experience as an online community founder 420 Investorthe first and still the largest due diligence platform focused on publicly traded stocks in the cannabis industry. With his extensive network in the cannabis community, Alan continues to find new ways to connect the industry and facilitate its sustainable growth. time New Cannabis Ventureshe is responsible for content development and strategic alliances. Before turning his attention to the cannabis industry in early 2013, Alan, who began his career on Wall Street in 1986, worked as an independent research analyst with more than two decades of research and portfolio management experience. A prolific writer, with over 650 articles published since 2007 Looking for Alphawhere he has 70,000 followers, Alan is a frequent speaker at industry conferences and frequent source Media including the NY Times, Wall Street Journal, Fox Business and Bloomberg TV. Contact Alan. Twitter: |: Facebook |: LinkedIn: |: El

Vireo Growth Inc. enters California and Florida and strengthens delivery platforms with acquisition of Eaze Inc.

• The deal will expand Vireo’s operating footprint to 10 states with 166 dispensaries and approximately 800,000 square feet of cultivation and manufacturing.
• The acquisition will also add 14 dispensaries to the company’s retail footprint in Colorado
• Eaze’s delivery platform will strengthen the company’s IP portfolio with a strong presence in California

MINNEAPOLIS, Dec. 22, 2025 (GLOBE NEWSWIRE) — Vireo Growth Inc. (“Vireo”) (CSE: VREO; OTCQX: VREOF) (“Vireo” or the “Company”) announced today that it has entered into a definitive agreement to acquire. Eaze Inc. (“Eaze”), a vertically integrated cannabis retail and delivery technology platform with operations in California, Florida and Colorado. Eaze has 65 active retailers and has completed over 12 million shipments.

The deal marks Vireo’s entry into two of the nation’s largest hemp markets, California and Florida. Eaze has a strong presence in delivery sales in California with four co-located retail and delivery locations and eight delivery-only locations covering most of the state’s major metropolitan areas. In Florida, Eaze is currently the sixth largest retailer with 39 active stores and approximately 64,000 square feet of development space with significant expansion capacity. Finally, the deal will expand Vireo’s retail presence in Colorado with 14 additional dispensaries, bringing the total Colorado footprint to 55 stores. Upon closing, Vireo’s portfolio of cannabis brands and assets will span a total of 10 states with 166 active retail dispensaries and approximately 800,000 sq.ft.

The transaction will be completed through a planned merger whereby Eaze will become a wholly owned subsidiary of Vireo. The total transaction amount includes a base consideration of approximately $47.0 million, payable through the issuance of approximately 84 million of the Company’s subordinated voting shares, closing at an assumed issue price of $0.56 per share. The total amount payable in the transaction is subject to adjustment based on closing levels of cash, debt, tax liabilities and working capital adjustments, as well as the occurrence of certain other events prior to the closing date. The Share Redemption is subject to a normal holding period under the rules of the Canadian Stock Exchange (the “Exchange”). Completion of the transaction is subject to customary conditions, including receipt of necessary approvals, and is expected to close in the first half of calendar year 2026.

Eaze may be entitled to a gain consideration as of December 31, 2026, calculated as 3.84x Adjusted EBITDA, less closing consideration and adjusted for incremental debt, with any such gain payable in subordinated voting shares of the Company at an assumed price equal to the average price of $205 and the higher of the December 205 price. 31, 2026, subject to Exchange pricing policy.

Each of the Eaze sellers has entered into voluntary share lock-up agreements under which the shares will be subject to transfer restrictions for an aggregate period ending on March 1, 2028. Under these agreements, 20% of the shares will be released on March 17, 2027, September 22, 2020, September 2, 2020, June 21, 2020. 1, 2027 and March 1, 2028, the remaining shares are subject to closing from closing to the applicable issuance date.

Chief Executive Officer John Mazarakis commented: “We are excited to announce the arrival of Eaze and Vireo in California and Florida. The addition of Eaze provides immediate scale in two of the nation’s largest cannabis markets and strengthens our position in Colorado.”

Joining Vireo marks an exciting next chapter for Eaze. Our shareholders and teams share a common vision of building scalable, best-in-class operations, and together we are well positioned to enhance the retail and delivery experience for customers in every market we serve.

Cory Azzalino, Chief Executive Officer, Eaze Inc

About Vireo Growth Inc

Vireo was founded in 2014 as a leading medical cannabis company. Vireo is building a disciplined, strategically aligned and execution-focused platform in the industry. This strategy drives our intense local market focus while leveraging the strength of the national portfolio. We are committed to hiring industry leaders and deploying capital and talent where we believe it will deliver the most value. Vireo operates with a long-term mindset, an action bias, and an unwavering commitment to its customers, employees, shareholders, industry partners, and the communities it serves. For more information on Vireo, visit www.vireogrowth.com.

Original press release

Published by NCV Newswire

New Cannabis Ventures’ NCV Newswire aims to gather high-quality content and information about leading cannabis companies to help our readers filter through the noise and stay on top of the most important cannabis business news. The NCV Newswire is edited by an editor and is not, however, automated. Got a secret news tip? Get in touch.

You are reading this week’s edition of New Cannabis Ventures, a weekly magazine we have published since October 2015. The newsletter includes unique insight to help our readers stay ahead of the curve, as well as links to the most important news of the week. We no longer email them like we used to, but post this and all newsletters on our website here.

friends,

The big news this week was an extension of the huge news from August, when President Trump appears to be now preparing to issue an executive order to push cannabis from Schedule I to Schedule III. Unsurprisingly, hemp stocks have rallied, with the NCV Global Cannabis Stock Index now at 8.23, up 35.4% in December and now up 19.6% year-to-date. MSOs to benefit from 280E tax If this continues, MSOS will rise even further to 6.69, up 92.2% in December and 75.6% year-to-date. The ETF, which closed at $6.87 on Election Day 2024, fell to $2.02 in March.

In August, when the news broke, I issued a newsletter pitching to investors consider hemp REITs. After initially moving higher, they have since fallen behind;

Since 8/13, MSOS has advanced 28.4% and the Global Cannabis Stock Index is up 15.9%. Only one of the four hemp REITs rallied, Innovative Industrial Properties, and it was up just 6.9%. A very weak one is Advanced Flower Group, which is in the process of becoming a business development company

I continue to believe that eliminating 280E taxes will be good for hemp REITs, which include two equity REITs and two mortgage REITs. I have two of them, IIPR and REFI, in my Focus List at 420 Investor and my model portfolio holds both right now. I’m overweight the utilities index and underweight all other subsectors, including MSOs and Canadian LPs;

The two REITs I include in my Focus List make up 27.8% of the model portfolio and increase my ancillary exposure. All four REITs are in the Global Hemp Stock Index and make up 13.6% of the index, so I am currently very overweight. IIPR, which trades on the NYSE, trades at 0.7X tangible book value. REFI, which trades on the NASDAQ, trades at 0.9X. Both stocks pay very high dividends that may be at risk. So far in 2025, both stocks are down more than 12%, and two other hemp REITs are down more. Even if dividends are included, all are down year-over-year;

The two REITs I follow closely serve MSOs: IIPR owns and leases properties, and REFI owns mortgages that MSOs take out against their properties. The poor financial health of their clients weighed on both stocks. If 280E goes away, the client will be healthier. Certainly there will be challenges if 280E remains, but it could be much worse for MSOs saddled with debt and unpaid taxes. The reprogramming will not automatically result in NASDAQ admitting MSOs for trading, nor will it necessarily result in SECURITY banking, an action that could increase competition for REITs. Hemp REITs, which are still down year-over-year and down for much longer periods, look attractive to me for hemp investors here.

This fight to stop 280E taxation was bitter. Let’s hope it ends.

Sincerely,

Alan:

New Cannabis Ventures publishes curated articles as well as exclusive news. Here is what we published last week.

Exclusives

Michigan cannabis sales down in November

Capital increase

Trulieve is borrowing $140 million at 10.5 percent

M&A:

Canopy growing to get a Canadian hemp grower

Follow Alan for real-time updates X.com:. Share and discover industry news with like-minded people on the largest group of cannabis investors and entrepreneurs LinkedIn:.

View: Public Hemp Company Revenue and Earnings Trackingwhich ranks the highest-earning hemp stocks.

Stay on top of the most important communications from public companies by watching what’s coming cannabis investor calendar.

Based in Houston, Alan leverages his experience as an online community founder 420 Investorthe first and still the largest due diligence platform focused on publicly traded stocks in the cannabis industry. With his extensive network in the cannabis community, Alan continues to find new ways to connect the industry and facilitate its sustainable growth. time New Cannabis Ventureshe is responsible for content development and strategic alliances. Before turning his attention to the cannabis industry in early 2013, Alan, who began his career on Wall Street in 1986, worked as an independent research analyst with more than two decades of research and portfolio management experience. A prolific writer, with over 650 articles published since 2007 Looking for Alphawhere he has 70,000 followers, Alan is a frequent speaker at industry conferences and frequent source Media including the NY Times, Wall Street Journal, Fox Business and Bloomberg TV. Contact Alan. Twitter: |: Facebook |: LinkedIn: |: El