California-based cannabis delivery company Eaze has agreed to acquire Green Dragon, creating the largest multi-state operator (MSO) delivery operation and largest MSO headquartered in California. The combined company will serve customers and patients in four states.
Eaze currently operates in California and is launching in Michigan while Green Dragon operates in Colorado and Florida. The combined company will operate 42 delivery and storefront retail locations in a market area worth nearly $10 billion.
Over the past 12 months, Eaze completed $190 million in transaction value. Eaze CEO Rogelio Choy said over the last two years, the company has “achieved exponential growth over the last two years by successfully shifting to vertical operations and continuing to grow our loyal customer base.”
Last month, Eaze launched the first-of-its-kind shoppable cannabis app for Apple.
“Green Dragon’s airtight operations in Colorado and expansion into Florida’s booming market adds key operational capabilities to our national footprint and cements our leadership as California’s largest MSO. Together, we are well-positioned to leverage the market’s explosive growth now and into the future.”—Choy in a press release
Eaze’s average monthly revenue increased 75% between 2019 and 2020. In 2020, Green Dragon’s Colorado retail stores saw 39% growth, the companies said. Last month, Green Dragon opened its first two medical cannabis dispensaries in Florida and the company operates more than half a million square feet of cultivation and product manufacturing facilities.
The terms of the deal were not disclosed, and it still requires state and local regulatory approval.
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