Denver probiotic and CBD manufacturer HempFusion Wellness Inc. is buying the holdings company that owns the Apothecanna CBD line for up to $25 million in a stock-and-cash deal announced Monday.
The deal with APCNA Holdings, also based in Denver, gives HempFusion a CBD brand sold in 1,800 CVS Pharmacies locations.
HempFusion will pay $15 million in a stock-and-cash combination to be determined later. The deal also calls for HempFusion to pay another $10 million if certain revenue targets for Apothecanna are met within 12 months.
HempFusion said in announcing the deal that Apothecanna will bring additional retail exposure, while HempFusion’s “substantial investment into regulatory compliance will help solidify Apothecanna’s leadership position in the CBD industry.”