Tilt Holdings Inc. (CSE: TILT) (OTCQB: TLLTF) reported a decline in revenue to $40.4 million for the second quarter of 2020, which was a drop of 12% from the prior-year period. The net loss was $4.6 million versus a net loss of $9 million in the previous quarter. The company also told investors that it sold its technology platform Blackbird.
“In the third quarter we saw sequential growth across our core Jupiter and plant-touching operations reflecting our diversified position within the growing U.S. cannabis industry,” said Mark Scatterday, CEO of Tilt. “We also reported record adjusted EBITDA that was positive for the third consecutive quarter, a result of our actions to right-size the business while strengthening our platform to scale as a preferred B2B partner to the cannabis industry.”
When TILT first came together as a disparate group of companies, investors had a hard time understanding how all the pieces would fit. Management spent an inordinate amount of time explaining how these pieces would be synergistic. Now it seems, Tilt is going to focus on its biggest member of the family Jupiter, the vape company and is getting out of the tech platform business. Tilt announced that its subsidiary Baker Technologies, Inc. had agreed to sell Yaris Acquisition, LLC known as Blackbird to Slam Dunk, LLC, a Nevada limited liability corporation controlled by Tim Conder, TILT’s Chief Operating Officer and a member of the board of directors of the company. The company said the total valuation of the deal was $15 million and selling Blackbird results in a cut of $3 million in expenses quarterly.
“We continue to believe that the Blackbird platform offers a comprehensive technology solution capable of bringing cannabis brands, retailers, and consumers together on a single platform,” said Gary Santo, President of TILT. “Unfortunately, the marketplace