[PRESS RELEASE] – NORWOOD, Mass., March 3, 2025 – MariMed Inc., a leading multistate cannabis operator, announced it has completed its acquisition of First State Compassion Center (FSCC), the leading cannabis operator in Delaware, in accordance with the terms of the previously announced Omnibus Agreement entered into with FSCC in July 2023. The acquisition integrates FSCC’s cultivation and processing facilities and two dispensaries into MariMed’s fully vertical operations, further enhancing the Company’s revenue and profitability.

The approval of MariMed to become the owner of FSCC was facilitated by the state permitting FSCC to transition from a not-for-profit to a for-profit business. The timing is ideal for MariMed, as Delaware is expected to commence adult-use cannabis sales later this year. A recent report by the state estimated that Delaware’s legal cannabis market could grow to $215 million in annual sales.

MariMed and FSCC have worked together since 2014, when MariMed assisted FSCC in securing its original cannabis license and began providing FSCC with management and real estate services. FSCC distributes MariMed’s award-winning portfolio of brands in Delaware. According to Lit Alerts, MariMed’s Betty’s Eddies fruit chews and Vibations drink mix are the top-selling edible and beverage brands, respectively, in Delaware. Nature’s Heritage flower, which FSCC began selling in Delaware in the spring of 2024, is already No. 4 among flower brands sold in the state.

Becoming the owner of FSCC completes an important component of MariMed’s strategic growth plan. With this development, the company has now completed the acquisition of its previously managed businesses in Massachusetts, Illinois, Maryland and Delaware, the results of each of which are now consolidated in the company’s financial statements.

“We are thrilled to welcome FSCC to the Marimed family,” MariMed CEO Jon Levine said. “We have worked closely with FSCC’s incredible team to support its growth trajectory from the very beginning, resulting in it being the top operator in Delaware today. We expect by fully integrating its operations, we will further build FSCC’s and our brands’ dominance in the market, while also improving our balance sheet.”