Cannabis Delivery Platform Eaze to Acquire Green Dragon MSO

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California-based online cannabis marketplace and delivery platform Eaze will acquire Green Dragon, a vertically integrated multistate operator (MSO) operating in Colorado and Florida.

Terms of the deal were not disclosed.

In a news release, Eaze said the transaction would make it the country’s largest cannabis delivery operation with “42 delivery and storefront retail locations.”

According to Green Dragon’s website, the company currently operates 15 cannabis shops in Colorado and one medical dispensary in Florida. The Eaze news release suggests that Green Dragon “plans to have at least 20 locations secured in Florida by 2021,” however the company’s website currently lists just 10.

“We are incredibly excited to be combining our retail and production expertise with the nation’s leading cannabis delivery platform,” Green Dragon co-founder Alex Levine said via the release. “Together, Eaze and Green Dragon will be able to expand access to even more patients and customers via an ever-expanding delivery network as well as physical storefronts across the country.”

According to TechCrunch, Eaze has raised $255 million to date. Fresh off hauling in $90 million in Series D funding around this time last year, TechCrunch reports that Eaze is working to close a $75 million Series E round that will value the company at $700 million.

Eaze has completed more than 7.6 million deliveries across California and Michigan since it was founded in 2014. The company, which carries over 100 brands and 600 individual SKUs, boasts two million registered customers.

According to Dai Truong, who leads Arlington Capital’s cannabis coverage and also publishes the “Highly Objective” Substack newsletter, Eaze is taking a “big swing” with the Green Dragon transaction.

Truong said Eaze’s “best in class technology and delivery expertise” combined with Green Dragon’s existing dispensary footprint in Colorado could help it “quickly win market share” in a state that only recently allowed cannabis deliveries.

Additional information is available in the release below.

Eaze To Acquire Multi-State Retail Leader Green Dragon, Creating Nation’s Largest MSO Delivery Operation and Biggest California-Headquartered MSO

Combined Operations Pair Eaze Delivery Expertise with Green Dragon Retail Operations Excellence, Expanding Consumer Access to Cannabis Across Four of the Fastest-Growing U.S. Markets

SAN FRANCISCO -- Eaze, the nation’s largest cannabis delivery marketplace, and multi-state retail leader Green Dragon are pleased to announce they have reached an agreement to provide service to customers and patients in California, Colorado, Michigan, and Florida. The combined company will operate 42 delivery and storefront retail locations and serve markets with a combined value of nearly $10 billion. The transaction is pending local and state regulatory approval.

“Eaze has achieved exponential growth over the last two years by successfully shifting to vertical operations and continuing to grow our loyal customer base,” said Eaze CEO Rogelio Choy. “Green Dragon’s airtight operations in Colorado and expansion into Florida’s booming market adds key operational capabilities to our national footprint and cements our leadership as California’s largest MSO. Together, we are well-positioned to leverage the market’s explosive growth now and into the future.”

Green Dragon Co-Founder and Chief Development Officer, Alex Levine said, “We are incredibly excited to be combining our retail and production expertise with the nation’s leading cannabis delivery platform. Together, Eaze and Green Dragon will be able to expand access to even more patients and customers via an ever-expanding delivery network as well as physical storefronts across the country.”

Eaze is a vertically-integrated cannabis marketplace operating in California and launching in Michigan, with over 7.6 million deliveries completed to-date, two million registered customers, and $190 million in transaction value over the past 12 months. Eaze carries over 100 brands and 600 individual products on its menu, and is a nationally-recognized leader in promoting social equity licensees, who have sold nearly $7.7 million in products via the Eaze platform. In July, Eaze launched the first-of-its-kind shoppable cannabis app for Apple.

Green Dragon is a pioneering cannabis company and multi-state operator, with stores spanning major metropolitan areas in Colorado and Florida, cultivation operations in both states, and more than one million transactions in 2020 alone. Green Dragon’s retail stores in Colorado achieved a 39% growth in 2020, and Eaze’s average monthly revenue increased 75% between 2019 and 2020. In July, Green Dragon announced the opening of its first two Florida dispensaries, and plans to have at least 20 locations secured in Florida by the end of 2021.

The combined and complementary capabilities of Eaze and Green Dragon:

  • Creates the largest MSO delivery operation and MSO headquartered in the world's biggest market, California.
  • Expands Eaze retail operations into four of the fastest-growing U.S. markets.
  • Positions the company for extensive expansion over the next 18 months in Florida and Colorado.
  • Builds a highly-competitive private label portfolio, including Circles, Everyday, Lost Lotus, Sugarhigh, Magnus Concentrates, Tropix, Le Remedie, Fuel, Bleezy Blunts, and Panama Gold.

About Eaze

Eaze delivers good with the goods. As the nation’s largest legal cannabis marketplace, we bring enjoyment and convenience to our customers, break down barriers to access, and cultivate community in everything we do. With over 7.8 million cannabis deliveries to date, we are committed to creating a more diverse and sustainable industry through our Momentum business accelerator and Social Equity Partners Program. Learn more at eaze.com.

About Green Dragon

Established in 2009, Green Dragon is one of the nation’s longest operating and privately owned vertical cannabis companies with operations currently in Colorado and Florida. Throughout its history, Green Dragon has had extensive experience in both the medical and recreational cannabis markets and is well positioned to expand its retail footprint across the country. Innovation propels Green Dragon, from its customer-centric retail model, to its strategic acquisition plan and robust supply chain, which features over half a million square feet of cultivation and product manufacturing facilities.


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