BOCA RATON, Fla. – Stem Holdings, Inc., (OTCQB: STMH) (CSE: STEM) (the “Company” or “Stem”) a major vertically-integrated cannabis and hemp organization with state-of-the-art cultivation, processing, extraction, retail, and distribution operations announced currently that it has executed definitive merger agreements to obtain Consolidated Ventures of Oregon, Inc. and OPCO Holdings, Inc., (collectively, “TJ’s”) which operate as TJ’s Gardens, an award-winning cannabis brand, as nicely as other assets like Travis X James cannabis brand, Cannavore brand edible merchandise, and Reefer Distribution. Primarily based in Eugene, Oregon, TJ’s is a licensed market leader in cannabis and hemp cultivation and innovation processing, as nicely as other segments to incorporate and not be restricted to extraction, retail, and distribution. The acquisition is right away accretive to Stem’s small business model.
TJ’s is extremely recognized and nicely identified for its award-winning, proprietary cannabis genetics, like TJ’s Durban Poison strain, named Higher Occasions Magazine’s “Best Tasting Bud” two years in a row. TJ’s has two master growers, with substantial knowledge pertaining to organic soil and other mediums of cannabis and hemp agriculture. TJ’s utilizes regenerative and sustainable cultivation methodology that makes it possible for our specialist group to develop premium cannabis on a industrial production level for recreational, health-related, and extraction applications. TJ’s Gardens’ market-major genetics, cultivation, processing, and production strategies will be integrated all through Stem’s worldwide operations. Stem will seamlessly operate TJ’s Gardens’ enterprise using TJ’s present brands, its, management group and workers.
Pursuant to the terms of the merger agreement, Stem will obtain TJ’s for a deemed aggregate acquire cost of US$12.5million. The acquire cost will be happy by releasing 12,500,000 shares of Stem popular stock, which are at present becoming held in escrow, to the helpful owners of TJ’s. As previously disclosed, specific helpful owners of TJ’s are also directors, officers and/or shareholders of Stem. The transaction remains topic to receipt of all required regulatory approvals. Closing of the transaction is anticipated to happen on or ahead of December 31, 2019.
“We are excited to welcome the TJ’s group to Stem as we continue to create our portfolio of brands and deploy our operational excellence development approach,” stated Mr. Adam Berk, Chief Executive Officer of Stem. “TJ’s has a deep heritage in the Pacific Northwest and boasts powerful brand recognition with a broad portfolio of award-winning genetics, as nicely as premier cultivation, processing, distribution and retail assets. Stem has collaborated and partnered with TJ’s considering the fact that 2017, and this acquisition now makes it possible for us to leverage our state-of-the-art operations to develop and extend the TJ’s brand and other assets,” he concluded.
“Today is a big milestone for TJ’s Gardens and we couldn’t be a lot more pleased to join the Stem group,” stated Mr. Travis Mackenzie, co-founder of TJ’s Gardens. “I began in the cannabis market as a labor of really like for my wife, who suffered from debilitating migraines immediately after surviving an accident that resulted in a brain injury. Her neurologist strongly recommended she attempt health-related cannabis, so I began developing a couple of plants for her. The cannabis from these plants proved helpful for her discomfort management.
Mackenzie continued, “We think strongly in the added benefits of cannabis, and joining the Stem group is the subsequent step in our evolution that will allow us to scale and develop our small business,” he concluded.
The new subsidiary is a vertically integrated cannabis organization, at present operating 3 licensed retail dispensaries positioned in Eugene and Portland, Oregon. In addition, TJ’s holds cultivation, extraction, processing, and distribution licenses for the organization’s 3 state-of-the-art facilities positioned in Eugene, Springfield and Mulino, Oregon, with a total footprint of more than 88,000 sq. ft. of cultivation capacity for its cannabis flower merchandise totaling a lot more than 25,000 pounds per year.
ABOUT STEM HOLDINGS, INC.
As a vertically integrated cannabis organization, Stem has positioned itself as a pioneer in the market with its state-of-the-art cultivation, processing, extraction, retail and distribution operations. Stem owns cannabis facilities in Nevada, Oklahoma, and Oregon, and also participates in a study project in collaboration with Cornell University. Using proprietary, sustainable cultivation strategies, Stem, or its affiliates, create exceptional merchandise that are protected and consist of lab-tested cannabis and CBD. Stem’s owned and companion customer brands are award-winning and nationally identified, and incorporate cultivators TJ’s Gardens and Yerba Buena retail operations Stem and TJ’s infused item producers Cannavore and Supernatural Honey and a CBD organization, Dose-ology. Stem’s mission in supporting the well being and happiness of individuals and the security of the planet is evident via the Company’s continued recognition for its neighborhood involvement, employee diversification, designation as a top rated location to function in cannabis, dedication to environmental causes and outstanding leadership in the cannabis market.