Canopy Growth Corporation, one of Canada’s largest marijuana producers, has finalized an all-cash transaction to acquire Storz & Bickel, a vaporizer maker best known for the Volcano, for a purchase price of up to approximately $165 million.
“S&B quite literally invented the vaporizer market,” said Canopy Growth. “They make the best performing, highest quality, and most respected products in the segment. Leveraging their IP into the tech-heavy vaporizer designs we have in progress will allow us to bring products to market that will set a new bar in terms of quality, functionality, and consumer safety.”
Based in Germany, Storz & Bickel are designers and manufacturers of medically-approved vaporizers. Storz & Bickel has spent the last two decades developing an automated and internationally certified factory, achieving ISO 13485 certification in 2009. The company has exported devices to 50 markets around the world.
“We view this as a marquee acquisition of the most recognized technology company in the industry,” said Bruce Linton, Chairman & Co-CEO, Canopy Growth. “This Company is well positioned for the next wave of federally-regulated products in Canada beyond dried flower and edible oils. By combining Canopy’s existing designs and Canada’s open environment for federally permissible R&D with Storz & Bickel’s deep IP portfolio and management team, Canopy Growth is poised to lead the high-margin vaporizing category around the world.”
Storz & Bickel portfolio also consists of 17 patents which will be used to improve Canopy Growth’s existing vaporizer design operations.