CeresMED, which owns medical cannabis vendors Champlain Valley Dispensary and Southern Vermont Wellness, will merge with the Toronto-based company Slang Worldwide in a $25 million deal. The transaction will provide CeresMED with an infusion of capital as it prepares to enter the recreational market next year.
“It’s been a long road to get here, and we’re super excited to have found someone who aligns with our values and how we see ourselves in the bigger industry, and who can capitalize us,” said Bridget Conry, director of brand experience for CeresMED. “It’s been really hard to finance our growth.”
Slang, a publicly traded company that buys and sells licenses for cannabis edibles and accessories, has distributed some of its own brands through CeresMED’s dispensaries since 2015; because federal law prohibits the interstate sale of cannabis, explained Conry, CeresMED purchases the formulas and manufacturing equipment from Slang, then assembles the products in its own facilities.
The merger will underwrite a 50,000-square-foot expansion of CeresMED’s Milton headquarters and eventually allow the company to hire up to 50 more employees, said Conry, effectively doubling its size. The acquisition will also open new markets for CeresMED’s Vermont-manufactured CBD products in 12 other states, including Oregon