Cannabis MSO Acreage hires new CEO after thorough recruitment process

Bethan Rose Jenkins, Cannabis News Writer/Editorial

Before 2020 came to a close, multistage cannabis operator (MSO) Acreage Holdings announced that it would be appointing Peter Caldini as the company’s new chief executive officer (CEO). 

New-York based Acreage made the announcement on Friday, December 18 three days before Caldini officially joined the team and assumed his position as CEO.

“I look forward to guiding Acreage to a clear leadership position in the largest cannabis market in the world, utilizing the company’s proven award-winning brands combined with Canopy Growth’s brands and intellectual property,” Caldini expressed in a press release.

The news of cannabis MSO Acreage’s new CEO who is said to have a stealthy track record of enhancing brand equity, boosting shareholder value and strengthening operational efficiencies comes hot on the heels of the company’s recent debut on OTCQX.

Caldini brings a diverse skill set to the table. The former President of Pfizer North America Consumer Healthcare and Regional President Consumer Healthcare of EMEA (Europe, Middle East and Africa) boasts plenty of senior leadership experience in the consumer packaged goods and healthcare industries throughout the U.S., China and Europe.

Canopy Growth set to acquire cannabis MSO Acreage 

Eventually, MSO Acreage could be acquired by Canadian company Canopy Growth. This is based on a conditional deal that was secured between the named companies in 2019. It is contingent on the federal legalization of cannabis in the United States.

Last year, Canopy and Acreage joined forces to amend the aforementioned deal at a reduced price. Ultimately, both companies agreed that Canopy would not be obligated to purchase all of Acreage’s shares. 

The former CEO of Acreage, Kevin Murphy, resigned once the amended deal was confirmed.

“As Acreage’s largest shareholder, I could not be more confident that the future of Acreage is indeed in great hands with Peter,” Murphy said of the latest news regarding cannabis MSO Acreage’s new CEO.

Cannabis MSO Acreage recently raised $33M to pay off higher-interest debt

Something else that cannabis MSO Acreage has been featured in the news for recently was its victory in bagging a three-year-loan valued at $33 million dollars. Acreage declared that it had successfully raised $33 million in debt, suggesting that the formerly struggling company is gradually recovering.

An unidentified institutional lender is believed to have granted Acreage the unsecured loan with an annual interest rate of 7.5 percent. This is based on a September 2020 news release published by the New York-headquartered company.

Moreover, back in June 2020, a four-month bridge loan with a 60 percent annual interest rate was secured by intellectual property, as well as by Acreage operations spread across Illinois, New Jersey and Florida. The loan, which was granted amid the company’s efforts to restructure operations and sell assets, was valued at $15 million.

A portion of the proceeds will cover a short-term $11 million convertible note; signed on May 29 with a 15 percent interest rate. Regulatory filings state that the convertible note was secured by Acreage’s Connecticut-based medical cannabis dispensaries.