SNDL ($SNDL) and The Valens Company have announced a business combination that will create a leading, vertically integrated cannabis platform. Terms of the agreement call for SNDL to acquire all of the issued and outstanding shares of Valens for total implied consideration of $138 million.

The combined company will control over 555,000 square feet of cultivation and manufacturing space and operate 185 cannabis stores throughout Canada. SNDL says the merger will result in one of the largest adult-use cannabis manufacturers and retailers through a diverse portfolio of brands, extensive retail footprint, premium indoor cultivation, and low-cost manufacturing facilities.

Zach George, CEO of SNDL commented: “This powerful combination will result in the creation of a dominant vertically integrated company, exceptionally well-suited to weather the current cannabis environment and become a leader in the Canadian regulated products sector. SNDL’s existing consumer packaged cannabis business will be transformed by Valens’ high-quality extraction, processing, and manufacturing capabilities and aligns well with our strategic vision to delight consumers with a full range of quality cannabis products and experiences.

With approximately $314 million in net cash and no debt, SNDL will continue to have one of the strongest balance sheets in the North American regulated cannabis industry.

Shares of SNDL trade in the United States on the NASDAQ exchange. For more information visit https://www.greenstocknews.com.

#cannabis #consumerbrands #cbd #cannabiscultivation #sndl

source