America’s largest weed company, Curaleaf, is expanding into Europe with a $286 million cash-and-stock acquisition of London-based EMMAC Life Sciences, a medical cannabis cultivator operating in the UK, Germany, Portugal, Spain and Italy.
That, plus a major milestone
On top of the 15% cash, 85% stock deal, Curaleaf also says they’re on track to sell more than $1.2 billion (with a b) worth of cannabis products this year. It will be the first time a cannabis company has hit the $1 billion/annual mark.
Déjà vu all over again?
We’re old enough to remember when Canadian giants made similarly huge revenue projections and announcements about entering the European market, which have been disappointing so far.
To underscore our point, Canopy Growth just yesterday announced the closing of their Danish facility. But here was their view in 2018, from then-Canopy Growth President Mark Zekulin, “We have been and continue to be focused on being the medical cannabis leader in Europe, by bringing the expertise and credibility we have established in Canada to European markets.”
Curaleaf’s Joseph Bayern, who took over as CEO in January, told Insider they’re zeroing in on markets in UK, France and Germany, where adult-use legalization is most likely.
“I think there will be a couple of key dominoes that will fall, and the rest of Europe will go as well,” he said.
We’ll be watching closely for falling dominoes.