Icanic Brands will acquire 100% of LEEF Holdings in an all-stock transaction
Closing Purchase Price implies an approximate 2.0x LEEF estimated 2022 revenue multiple and 6.5x LEEF estimated 2022 EBITDA multiple
LEEF Holdings manufacturing capabilities include a 12,000 sq. ft. state-of-the-art extraction and manufacturing facility with up to 45 tons of biomass throughput per month and up to 3,000 liters of distillate extraction capability per month
LEEF’s Willits, California headquarters include Type 6, Type 7, Type 11 Distribution and Dispensary licenses
LEEF’s pending 196-acre cultivation license would make it the largest farm in California and sits on over 1,900 acres of prime California real estate
VANCOUVER, British Columbia, Aug. 31, 2021 (GLOBE NEWSWIRE) — Icanic Brands Company, Inc. (CSE: ICAN, OTCQB: ICNAF) (“Icanic Brands” or the “Company”), a multi-state brand operator of premium cannabis brands in California and Nevada, is pleased to announce that the Company has signed a binding letter of intent (the “LOI”) to acquire LEEF Holdings, Inc. (“LEEF”), a California based cannabis company (the “Proposed Acquisition”).
LEEF is the premier extraction company in California and is led by an expert group of legacy operators. The team has decades of experience in organic cannabis farming and sophisticated extraction practices.
LEEF Corporate Highlights include:
Core manufacturing competencies include ethanol extraction line (type 6), hydrocarbon extraction line (type 7), solventless extraction line and edibles production line
Supply distillate to 6 of the top 10 brands in California
Supply concentrates to 5 of the top 10 brands in California
2020A Revenue of USD $33.9m, expenses of USD $32.0m, and EBITDA of USD $2.0m
2021E Revenue of USD $42.7m, expenses of USD $34.8m and EBITDA of USD $7.9m
2022E Revenue of USD $60.0m, expenses of USD $41.5m and EBITDA of USD $18.5m
Cannabis campus centrally located in Northern California including a state-of-the-art manufacturing facility with 4 existing licenses sitting on 14 acres with room to expand on