Curaleaf, a vertically integrated multi-state cannabis operator, signed a definitive agreement May 1 to acquire Portland, Ore.-based Cura, which owns Select, a producer of oil for vape pens.
With this transaction, Curaleaf will acquire Select’s manufacturing, processing, distribution, marketing and retail operations, as well as all adult-use cannabis products under the Select brand name, according to a company press release.
“The transformational acquisition of Cura and the Select brand is another step in our journey to create the most accessible cannabis brands in the U.S.,” Curaleaf CEO Joseph Lusardi said in the press release. “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. In addition, we intend to create significant operational synergies from the integration of Select’s wholesale business with our vertically-integrated cultivating, processing and retail platform. We look forward to welcoming the talented Select team who will bring superior brand marketing expertise and a culture of innovation in technology and product development.”
The acquisition unites Curaleaf’s retail locations, vertical integration, wellness brand and strong East Coast presence with Select’s wholesale model, lifestyle brand and large West Coast presence, the release states.
Curaleaf operates 44 dispensaries across 12 states, Bloomberg reported, and recently announced that it will sell CBD products. Select’s THC products are sold in more than 900 retailers in Western states including California, Arizona, Oregon and Nevada.
“I could not be more excited about this transaction with Curaleaf and what it means for the Select brand and for our industry,” said Cameron Forni, CEO of Cura and founder of Select, in a public statement. “The leading companies in the industry on the West Coast and the East Coast are now joining forces to progress the legalization and mainstream acceptance of cannabis across the country.”
The transaction has been unanimously approved by independent special committees and the boards of directors at both companies, and is expected to close in 2019, subject to the customary closing conditions and regulatory approvals.