Greenlane Holdings, Inc a leading seller of cannabis accessories said it has completed a previously announced merger with KushCo Holdings, Inc, an American provider of packaging, containers, and other ancillary products for the cannabis industry.
The newly combined company brings together a total of 26 years of experience and two of the sectors pioneering cannabis ancillary product and service companies.
The recently formed entity will operate under the Greenlane banner.
READ: KushCo receives stockholder approval to merge with Greenlane
Greenlane’s Class A common stock will continue to trade on the Nasdaq Global Market under the ticker symbol “GNLN”.
Each KushCo shareholder is entitled to receive 0.3016 of a Greenlane share for each share of KushCo common stock held as of August 31, 2021. Those holding Greenlane shares prior to the completion of the transaction will continue to hold their Greenlane shares with no adjustment stemming from the deal.
“As we turn the page to an exciting new chapter as Greenlane, I am more confident than ever in our ability to build the industry’s leading ancillary cannabis company by leveraging our size, scale, strategy, and talent to take advantage of the significant growth opportunities that lie ahead,” Nick Kovacevich, Chief Executive Officer of Greenlane said in the statement.
Kovacevich added: “The substantial progress both companies have made in our combined 26 years of history positions us at the forefront of a rapidly evolving landscape. I look forward to the road ahead with our new colleagues and am excited to report our continued progress in the months and years to come.”
Greenlane anticipates the merger will yield a number of important strategic synergies and financial benefits allowing for enhanced scaling and rapid growth.
“I am thrilled by the strong support our customers, employees, and shareholders have shown for this transformative merger and excited to welcome Nick and our new colleagues to the Greenlane team,” said Aaron LoCascio, Co-Founder and President of Greenlane. “I am convinced that together we will continue to drive innovation and build the industry’s leading ancillary cannabis company that is incredibly well-positioned to provide both exceptional service to our customers and create long term value for our shareholders.”
One of the ways the company plans to benefit from the merger is enhanced synergies, which are expected to generate about $15 million to $20 million of annual run-rate cost synergies within the first 24 months.
The new senior management team for the recently combined Greenlane is as follows:
- Nick Kovacevich, Chief Executive Officer;
- Bill Mote, Chief Financial Officer;
- Aaron LoCascio, President;
- Adam Schoenfeld, Chief Strategy Officer;
- Rodrigo de Oliveira, Chief Operating Officer;
- Rhiana Barr, Chief People Officer;
- Douglas Fischer, General Counsel;
- Michael Cellucci, President, CPG Sales; and
- Andrew Goodman, SVP of Sales
Greenlane serves more than 7,000 retail locations and has over 250 employees with operations in the US, Canada, and Europe.
Contact the writer at georgia@proactiveinvestors.com
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