Yooma acquires Vitality CBD for £10.2 million

Yooma acquires Vitality CBD for £10.2 million

LONDON, UK: Yooma Wellness Inc. has acquired Birmingham-based Vitality CBD Limited, a UK-market-leading CBD company, for a total consideration of up to £10.2 million, via the Company’s wholly owned subsidiary, Yooma Europe Limited.

The acquisition adds a significant source of recurring revenue to Yooma and its subsidiaries, through Vitality’s presence at mainstream retail outlets such as Boots, Tesco, Asda and Lloyds Pharmacy, as well as expanding the Group’s target customer base and distribution network for its existing European-focused brands, including the MYO plant nutrition platform.

In the six-month period to 30 June 2021, Vitality had gross turnover of £1.6 million and EBITDA of approximately £300,000.

There are significant synergies to be had and by working with the Yooma management team, Vitality will focus on growing revenue and margin in the latter half of 2021 as well as expanding distribution to other European and International markets.

This is the first acquisition since it completed the dual-listing of its shares on the AQSE Growth Market in London on 10 August 2021 and is part of Yooma’s buy-and-build strategy.

Lorne Abony, Chairman of Yooma, commented: “Completing the acquisition of Vitality is the first step of the strategic plan the Company outlined to investors at the time of our UK financing and dual-listing – to buy and build companies globally, focused on materially increasing the Company’s top-line revenue, leveraging the Group’s integrated supply chain to drive margin growth, and expanding distribution for the existing product portfolio.

This acquisition will help accelerate our growth by exporting these branded products to other Yooma jurisdictions and integrating with our MYO Plant Nutrition operations and distribution. Vitality is a market leader in the UK with presence in major retail outlets such as Boots, Tesco, Asda and Lloyds Pharmacy and we look forward to working with the team at Vitality.”

Nikhil Nathwani, Co-founder and Managing Director commented on the acquisition: “The whole Vitality CBD team are excited to be joining the Yooma group. CBD is a growing industry not only in the UK but globally, and the acquisition positions us nicely to be able to continue to expand and grow the business.”

Vitality CBD is the most widely stocked brand of CBD in the UK with products distributed in national retailers such as Boots, Tesco, ASDA and Lloyds Pharmacy. Vitality CBD is also prominent on E-commerce retailers such as Amazon, Very & Ocado.

The Vitality CBD product portfolio has over 60 SKUs including oils and sprays in a wide range of flavours and strengths, edibles, and a specially developed and formulated range of CBD skin care cosmetic products.

Yooma’s mission is to build a vertically-integrated global leader in the manufacturing, marketing, distribution, and sale of wellness products including hemp seed oil and hemp-derived and cannabinoid (CBD) ingredients. The company leverages strategically curated sales channels and ecommerce networks to deliver a diverse mix of wellness products through operating subsidiaries in the United States, United Kingdom, France and Japan. www.yooma.ca

Add a Comment

Your email address will not be published. Required fields are marked *