Stem Increases Footprint On West Coast With Acquisition Of Artifact Extracts And Two Cannabis Dispensarie – Benzinga

Stem Holdings, Inc. (OTCQX:STMH) (CSE:STEM), the first multi-state, vertically integrated Farm-to-Home™ (F2H) cultivation and technology omnichannel cannabis company, announced today that it has acquired Artifact Extracts, a premier cannabis extraction company based in Oregon known for its award-winning concentrates, as well as two dispensaries.

The transaction closed on September 17th. Stem issued 8,209,178 shares of common stock at a deemed aggregate value of US$ 2,925,000.

A Bubbling Market 

The national market for concentrates grew 40% last year as consumers become more comfortable with the intricate process of dabbing, MJBizDaily reported earlier this year.

According to Seattle-based data analytics firm Headset, sales of marijuana concentrates, which deliver a stronger dose of THC than other cannabis products, surged 40.5% last year in California, Colorado, Nevada and Washington.

Total sales of concentrates increased from $567 million in 2019 to $797 million in 2020, reported Headset.

According to Stem, the acquisition of Artifact will allow the company to capture additional market share, expand its presence in the fast-growing concentrates segment and maximize value for all its shareholders.

In addition, the firm seeks to increase its footprint of fully-owned dispensaries on the West Coast.

Launching Budee and More Dispensaries 

Plans include expanding its presence in Oregon by launching Budee (the company’s delivery platform) and opening a dispensary in Salem and in Eugene.

Cannabis sales in Salem/Marion County totaled $73.5 million in 2020, growing 32.4% as compared to the prior year, according to the Portland Business Journal.

Stem seeks to integrate Artifact’s skilled R&D leadership and premier line of concentrates,  including budder, shatter, crumble, rosin, THC A crystals and other popular forms, to reach new markets.

Strategic Highlights 

“As a result of this strategic acquisition, we will benefit from the expertise and broad capabilities that the Artifact team will provide to our existing extraction team,” stated Adam Berk, CEO of Stem.

“Artifact is recognized for the

Read More Here...

Share on facebook
Share on twitter
Share on reddit
Share on pinterest
Share on email

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top