Today (December 6), one of Canada’s largest licensed cannabis producers announced the acquisition of an iconic weed technology company. In a release, Canopy Growth Corporation says it bought German vape designer Storz & Bickel (S&B) for a cool €145 million (roughly $221 million CAD).
S&B gained an international reputation with products like The Volcano—a conical tabletop diffuser that blows up the best party balloons known to mankind (basically oven bags full of vaporized cannabis). The technology, amongst other vapes in their portfolio, revolutionized the consumption method and has become iconic of weed technology since its release in 2000.
In a release, Canopy Growth called the deal “the most significant acquisition to date.”
“Joining Canopy will enable S&B to take the next significant development step forward. Access to Canopy Growth’s extensive portfolio of test laboratories as well as pharmaceutical and medical-scientific know-how opens up entirely new product development opportunities,” said Jürgen Bickel, co-founder and ceo of S&B, in the announcement.
“I am looking forward to actively shaping this development personally in a senior leadership position. On the one hand to ensure continuity and on the other hand to accelerate the development together with the Canopy team to lead it to unprecedented heights.”
Cannabis concentrates (commonly used in vape technologies) were not included in the first round of Canada’s federal legislation. Policy makers have said updates the law to include these products, as well as weed-infused topicals and edibles, are in the works for 2019. Pairing Canopy Growth’s substantial capital with S&B’s history of technical innovation and portfolio of patents leaves the LP in prime position for the next wave of legalization.
Bickel and co-founder Markus Storz will stay on to work alongside Canopy Growth’s management team.