Curaleaf (CURLF 2.70%) is, almost literally, swallowing a new acquisition. The company announced Monday it has agreed to acquire BlueKudu, a manufacturer of cannabis-infused edibles for both the recreational-use and medical segments of the marijuana market. Neither the terms nor the price of the deal were disclosed.
BlueKudu is a relative veteran in its segment, having been founded in 2011 in Colorado (a pioneering state when it came to the legalization of cannabis). Its products are aimed at the premium end of the market, catering to users with more discerning tastes. Its line mostly consists of chocolates, which are available in a variety of gourmet-like flavors such as toffee and almonds milk chocolate, and cookies and cream.
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Additionally, BlueKudu makes several varieties of bonbons, and has four flavors of marijuana gummies. Its Mint Kudu Kookies cover that particular snack category.
With the deal, which is expected to close once all regulatory approvals have been obtained, Curaleaf will own BlueKudu's 8,400 square foot cooking and processing facility in Denver.
"BlueKudu's established production and distribution capabilities will allow Curaleaf to seamlessly enter the market and expand the Select brand presence in the state of Colorado," Curaleaf wrote in the press release trumpeting the acquisition.
Select also manufactures a high-profile line of cannabis products; Curaleaf agreed to purchase the company in May. Following a significant reduction in the upfront payment for that company late last year, the Select deal finally closed earlier this month.
Curaleaf, a well-known marijuana stock, was up slightly in mid-afternoon trading on Monday.
