Curaleaf Holdings, Inc.
The proposed all-stock deal to buy Cura Partners was initially announced in May 2019 at an estimated price of C$1.27 billion (US$948.8 million). However, in October Curaleaf announced it would issue 55 million of its shares to get the deal done, instead of the original 95.6 million.
That 42.5% drop in the number of shares offered reflected changing market conditions since the acquisition was initially proposed. The deal has now been concluded, cementing Curaleaf’s status as the largest cannabis operator in the U.S.
“The close of the Select deal is a major milestone in Curaleaf’s history and marks an unprecedented phase of growth for our company,” said Joseph Lusardi, CEO of Curaleaf.
The Select brand has built up a strong sales footprint in California, Oregon, Arizona, and Nevada. The range includes a bestselling vape cartridge, edibles, CBD oil and more.
Select will form a new division within Curaleaf and brand founder Cameron Forni will stay on as president of Select. Jason White joins Curaleaf from Select in the newly created role of Chief Marketing Officer, which will see him drive the company’s overall marketing and brand strategy.
White was previously global head of marketing for Beats by Dr. Dre, while he has also worked on campaigns for LeBron James, Kobe Bryant, and Tiger Woods during a stint at Nike.
This acquisition also triggered a deeper management shake-up at Curaleaf. Chief Financial Officer Neil Davidson has been promoted to chief operating officer, while Michael Carlotti has joined the business from Australis as Curaleaf’s new Chief Financial Officer. Mark Russ has been appointed senior vice president of sales.
Dr. Jaswinder Grover, an orthopedic and spine surgeon with 25 years of experience, has joined the board.
News of the Cura Partners completion follows hot on the heels of Curaleaf’s acquisition of the Acres Cannabis vertical operations in Nevada, and the awarding of preliminary retail and processing licenses in Utah.
Other Curaleaf News
Last week Curaleaf opened Cape Cod’s first recreational marijuana dispensary. It now operates in 14 states with 53 dispensaries, 15 cultivation sites, and 24 processing sites. Following the Select closing, Curaleaf employs more than 2,200 people across the U.S.
In a Capital 10X interview, President and CEO Joe Lusardi recently outlined Curaleaf’s strategy in the highly competitive Florida marijuana market. This included details on production capacity, dispensary rollouts, and much more.
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