Flora Growth to Acquire Koch & Gsell and Enter Europe with Leading Manufacturer of Natural Swiss Hemp Products

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Heimat, Koch & Gsell’s leading brand that includes pure hemp and blended hemp and tobacco cigarettes, to amplify revenue growth for Flora’s CPG portfolio with trailing twelve-month revenues of US$7.6M Flora to acquire 100% of Koch & Gsell for consideration of CHF 20 million (Swiss Francs, ~US$22.2M), to be satisfied by means of Flora common shares at a price of US$5.00 per share Acquisition to accelerate distribution of Flora Growth’s portfolio into Europe and Asia Heimat’s manufacturing technology to support Flora’s market share growth TORONTO, June 14, 2021 (GLOBE NEWSWIRE) —  Flora Growth Corp. (NASDAQ: FLGC) (“Flora” or the “Company”), a leading all-outdoor cultivator and manufacturer of global cannabis products and brands, is pleased to announce it has signed a Letter of Intent (“LOI”) to acquire 100% of the outstanding equity interests of Switzerland based Koch & Gsell and its wholly-owned hemp brand, Heimat. A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/a2fb7cde-a0ac-41f7-ae46-4863c26fb6fb   Under the Heimat brand, Koch & Gsell manufactures and distributes a range of hemp products that contain less then 1% THC, including pure hemp and blended hemp and tobacco cigarettes, as well as bulk flower and teas in over 2,500 stores across Switzerland. Heimat has become one of the leading brands in the Swiss market for industrially manufactured hemp cigarettes. Koch & Gsell distributes its Heimat pure hemp cigarettes and a variety of Swiss grown hemp flowers in Luxembourg and Belgium, expanding fast throughout Europe and standing at the doorstep to Asian countries. The Heimat brand, if acquired, will represent a substantive addition to the Flora brand portfolio as a high growth brand, with trailing twelve-month revenues of US$7.6M. Pursuant to the terms of the LOI and subject to the definitive acquisition agreement and approvals, upon the closing of the transaction, Flora will also invest CHF 2 million (Swiss…

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Source : Flora Growth to Acquire Koch & Gsell and Enter Europe with Leading Manufacturer of Natural Swiss Hemp Products

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