BevCanna Plans To Close Naturo Deal In Several Weeks, Posts Revenue Update
Back in December, BevCanna and beverage developer and producer, Naturo Group, announced the agreement and called the pending combination “unbeatable.”
The new entity is expected to have a balance sheet with some CA$55 million ($43.3 million) in assets, a more diversified portfolio of both cannabis and other plant-based beverages, as well as a multi-channel distribution network.
BevCanna expects the acquisition to provide $18 million in proprietary on-site natural alkaline spring water aquifer, more than 3,000 retail points and 40,000 square-foot beverage facility.
Nautro’s enterprise value is reported to be between CA$37 million and CA$38 million.
“BevCanna and Naturo each bring a number of unique strengths to the combination, that together form an even stronger company,” Naturo chairman and CEO Marcello Leone said. “BevCanna’s leadership in the cannabis-infused beverage sector and direct to consumer e-commerce business , together with Naturo’s innovative TRACE plant-based mineral beverages and supplements, significant manufacturing assets and extensive distribution network, will form the foundation of a unique, market-leading health and wellness company well positioned for long-term growth.”
Pure Therapy Achieves Record Sales
The Vancouver, British Columbia-based company also reported that its direct-to-consumer e-commerce company, Pure Therapy, had record sales.
Pure Therapy was acquired by BevCanna in September. It had a run rate of around CA$7.68 million in revenue and positive EBITDA of CA$37 million to date this year.
Since BevCanna completed the purchase, the direct-to-consumer e-commerce platform attracted 3,270 new customers.
“Our goal with the Pure Therapy acquisition was to quickly build a strong recurring revenue stream,” John Campbell, Chief Strategic Officer for BevCanna, said in a statement. “We’ve stimulated revenue growth by adding new products, investing in customer acquisition and retention programs and leveraging the platform's current mix of subscription-based and traditional sales revenue models. We're very pleased with the progress that we've made towards a very strong 2021.”
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