Canadian cannabis retail, CBD and accessory company High Tide announced a deal to acquire 80% of Denver-based CBD wellness product producer and distributor NuLeaf Naturals.

High Tide also has an option to acquire the remaining 20% of the Colorado company.

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The agreement announced Monday is worth slightly more than $31.2 million, which values NuLeaf at more than $39 million, according to a news release.

High Tide is paying in shares and will have a three-year call option to acquire the remainder.

NuLeaf’s owners also have an 18-month put option to sell the rest of the company to High Tide.

If High Tide acquires the remainder of NuLeaf, it will pay in cash.

NuLeaf Naturals produces hemp-derived CBD and other cannabinoid products, including tinctures, softgels and topicals, and sells them in retail stores and through an e-commerce website.

High Tide said NuLeaf generated $19.4 million in revenue in the year ended Sept. 30, with $16.3 million of that revenue from direct-to-consumer e-commerce.

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“With the purchase of NuLeaf, we are now further vertically integrated in our CBD business, just like we have been with regard to consumption accessories,” High Tide President and CEO Raj Grover said in a statement.

This year, Calgary, Alberta-based High Tide has acquired Milwaukee-based FabCBD and United Kingdom-headquartered brand Blessed CBD.

High Tide also owns a number of online cannabis accessory retailers and operates more than 100 retail marijuana stores in Canada.

High Tide shares trade as HITI on the TSX Venture Exchange and the Nasdaq.