Greenlane jumps on buying KushCo Holdings to create ancillary cannabis co

Greenlane Renewables

31/03/2021 13:39

** Shares of premium cannabis accessories seller Greenlane
Holdings  GNLN.O  up as much as 14.6% at $4.69 premarket 
    ** Stock among top pct gainers on premarket trade on Nasdaq
    ** Co to acquire KushCo Holdings Inc  KSHB.PK , pursuant to
which KushCo will become a wholly owned subsidiary of GNLN  urn:newsml:reuters.com:*:nACSkKWR8a
    ** KushCo's stockholders will receive about 0.2546 shares of
Greenlane for each share held
    ** The combined company is expected to have pro forma
revenue of over $250 mln for the year ended Dec. 31, 2020, and a
pro forma market capitalization in excess of $350 mln
    ** The deal is intended to be tax free to KushCo, and is
expected to generate $15 million to 20 million of annual
run-rate cost synergies within 24 months from the closing
    ** Deal is expected to close in late Q2 or early Q3 this
year
    ** Up to last close, stock up ~3% YTD 

 (Reporting by Rithika Krishna in Bengaluru)
 ((Rithika.Krishna@thomsonreuters.com;))