Green Thumb Industries closes its acquisition of For Success Holding Company
Today, in a press release, Green Thumb Industries (GTBIF) announced that it has completed its acquisition of For Success Holding Company, which owns the Beboe brand of vapor and edible cannabis products. Through this acquisition, GTBIF enters the California market. It now owns Lifestyle Brand and Incredible Talent. The acquisition was announced on February 5. However, GTBIF hadn’t disclosed the financial aspects of the deal.
Beboe is a leader in the luxury cannabis segment, known as a brand for its thoughtful design. Beboe is available in 125 retail locations in California and Colorado. GTBIF is now looking to expand this market. The impact of the acquisition should be visible in its Q1 2019 earnings. GTBIF had reported $17.2 million revenue in its Q3 2018, representing revenue growth of 344% year-over-year.
Ben Kovler, GTBIF’s CEO and founder, said, “The meticulously-crafted suite of Beboe products supports the premium segment within GTI’s brand portfolio and is firmly aligned with our long-term growth strategy. Beboe has an extremely talented team, a robust innovation pipeline, an aligned vision on the future of cannabis and a ground-breaking partnership with Barneys New York. We are thrilled to have the visionary Beboe team officially on board with GTI.”
Stock moves up
Green Thumb Industries stock remained positive with a gain of 7.4%, and it was trading at $15.24 at 1:15 ET. GTBIF’s peers Canopy Growth (CGC) and Tilray (TLRY) were down 2.6% and 0.8%, respectively. Aurora Cannabis (ACB) remained flat while Aphria (APHA) had gained ~2.35%. The broader-market S&P 500 (SPY) was down 0.25%.