Vertically integrated cannabis company Harvest Health & Recreation, Inc. (CSE: HARV) (OTC: HRVSF) announced it reached an agreement to acquire California-based
Falcon International Corp.
The acquisition expands Harvest's footprint on the industry by adding a leader in several industry verticals including
cultivation, manufacturing, wholesale distribution and brand development. The announcement did not state the amount of non-material
stock involved in the acquisition.
Specifics of the acquisition include 16 cannabis licenses in the verticals mentioned above. A key focus on the announcement
centered on Falcon's access to over 80 percent of California's storefronts, providing Harvest with ample opportunity to expand its
brand across the state.
Why It's Important
Manufacturing was also a focal point, with an emphasis on automation and production capabilities with capacity for over one
million packaged units per month. Currently, the facility is expanding to triple its capacity. Other key points of the acquisition
include deep cultivation experience as well as brands including Cru Cannabis, Littles and High Garden.
In a statement, Harvest Executive Chairman Jason Vedadi expanded on the acquisition and its importance.
“The acquisition of Falcon provides a home for our manufacturing and distribution businesses throughout California,” said
Vedadi. “We look forward to taking the brands acquired and leveraging our footprint to quickly move them across the country.”
The acquisition is subject to customary conditions of closing. If all is approved, the deal is expected to close during the
first half of this year.
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Image by Javier Hasse.
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