Ionic Brands paid $11 million for longtime marijuana edibles maker Natural Extractions, which does business as Zoots Premium Cannabis Infused Edibles.
As part of the stock and cash deal involving two Washington state companies, Zoots’ owners receive $855,000 in cash and more than 9.6 million shares in Ionic Brands, according to a news release.
As part of the deal, Ionic assumes about $600,000 in Zoots’ debt.
Zoots already has a footprint outside its home state in Colorado, Illinois and Massachusetts.
Ionic sells its vapor cartridges in California, Nevada, Oregon and Washington state.
Ionic CEO John Gorst said in a statement that the acquisition of Zoots is “a natural fit for our brand strategy.”
“The Zoots acquisition expands our market segments to the popular edibles space and expands our distribution network throughout the United States,” he added.
Dan Devlin who co-founded Zoots with brothers Michael and Patrick, will remain with the company as chief operating officer.
Neither officials from Ionic nor Zoots immediately responded to inquiries from Marijuana Business Daily.
With the rise of adult use cannabis, experts see medical marijuana dominated by two distinct markets.
Ionic is a sleeper, they’re slowly taking over the west coast market in the US
Kyle please. Ionic is cheap trash. They aren’t taking over anything but garbage bins.
Maybe but I live in Washington the two brands in every dispensary is the ionic pen and zoots drops. I’ve seen them in the news a lot lately acquiring companies so maybe I’m just naive
I live in a state where its not legal yet and I know that they’re one of the best!
Cheap trash? I would love to know what it is your smoking on. They’re the longest standing vape concentrate company in the country and one of the only companies that is completely transparent about what is in their oil. Hands down leaders in the industry! Tell me what other company posts their test results online for everyone to publicly view. That alone is not cheap lol