ATLANTA, Georgia – June 21, 2019 – PRESS RELEASE – Surterra Wellness, a health and wellness company, has announced the close of its acquisition of Massachusetts-based New England Treatment Access (NETA), a vertically integrated cannabis company.
The Commonwealth of Massachusetts is one of the fastest growing medical and adult cannabis markets in the U.S. This is Surterra’s second acquisition in six months, and reflects Surterra’s approach of bringing operational cannabis companies with established brands, comparable values and industry-leading standards under the Surterra umbrella. The deal adds a fourth U.S. cannabis market and another revenue-generating vertical operation to Surterra’s rapidly expanding national footprint, which also includes operations Florida, Nevada and Texas. The combined company will have more than 1,500 employees.
“This is a synergistic partnership. NETA’s foundational values and reputable track record align with Surterra’s own vision for long-term success in this rapidly evolving cannabis industry. We welcome the talented NETA leadership team and their proven operations and product development expertise. Their experience will accelerate Surterra’s ability to quickly and strategically scale as we become a global frontrunner in this space,” said Surterra Chief Executive Officer William “Beau” Wrigley, Jr. “Surterra will immediately integrate NETA’s best practices in patient and customer service, research and development, product production, compliance and year-round indoor grow capabilities across our company’s operations. We thank the Cannabis Control Commission for its approval of the acquisition and the communities of Brookline, Franklin and Northampton for all of their support.”
NETA co-founder Kevin Fisher joins Surterra’s leadership team as executive director of operations, effective immediately. An industry pioneer in regulated medical and adult-use cannabis, Fisher has owned and operated facilities in Colorado and Massachusetts under the Rocky Mountain Remedies and NETA brands since 2009. Fisher also co-founded and served as the CEO of Molecular Infusions (Mi), a world class, cannabinoid-focused, biopharmaceutical company based in Boston.
“NETA’s leadership and talented employees are thrilled to join Surterra. Together, we can build upon what NETA has already accomplished in ways that bring superior products and services to our current, and future, patients and customers. Like us, Surterra seeks meaningful collaborations with best-in-class, like-minded partners. They understand the long-term value of building brands and operational capabilities needed to execute on a large scale,” said Fisher. “NETA will continue to provide patients and customers in the Commonwealth of Massachusetts with the high-quality brands and extraordinary service that they have come to expect. Additionally, our focus on the deployment of strong diversity programs and strategic community partnerships will go forward unabated.”
Terms of the Deal
The financial terms of the cash and stock transaction are undisclosed. Surterra’s acquisition of NETA positions the combined business as a global cannabis sector leader in revenue and earnings. The deal includes Surterra’s full acquisition of NETA’s indoor grow, processing, R&D, product development and retail operations, as well as all medical and adult-use brands marketed through NETA facilities, including all associated intellectual property. NETA currently operates retail dispensaries in Brookline and Northampton, and cultivation and processing facilities in Franklin. The NETA team has built a world class, 100,000-square-foot indoor facility that houses cultivation, extraction and infusion technologies. The company offers a portfolio of more than 250 SKUs, covering a wide range of cannabis products and a large variety of strains.