Curaleaf Holdings Inc. has agreed to acquire Cura Partners, Inc. in an all-stock deal worth nearly $1 billion, the company announced on Wednesday. Portland, Oregon-based Cura Partners owns wholesale cannabis brand Select, which is sold at more than 900 retailers throughout the U.S.
Joseph Lusardi, CEO of Curaleaf, called the deal another step in Curaleaf’s “journey to create the most accessible cannabis brands in the U.S.”
“The combination of Curaleaf and Select is a perfect fit. With our industry leading capacity, expansive retail distribution network and Select’s impressive sales and marketing capabilities, we intend to meaningfully accelerate our topline growth trajectory with the addition of the Select Oil product range.” – Lusardi, in a press release
According to a report from Barron’s, the companies combined revenues reached $205 million last year – more than any other cannabis company in the world.
On a conference call, Curaleaf Executive Chairman Boris Jordan called the deal all about “synergies” as the operation expects a 50 percent reduction in Select material costs and 25 percent savings in processing costs. The deal includes Select’s manufacturing, processing, distribution, marketing, and retail arms, along with Select intellectual property.
Select CBD products are not included in the $948.8 million deal.
Curaleaf already operates in 12 states, with as many cultivation sites, 44 dispensaries, and 11 processing sites. The acquisition is scheduled to close later this year.
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