CEA Industries announced that it has signed an agreement to acquire Fat Panda Ltd., a Canadian retailer and manufacturer of nicotine vape products, for an aggregate purchase price of CAD $18 million. The Company will pay the purchase price with a combination of cash, CEA Industries common shares, and seller and bank debt. The structure of this accretive acquisition is designed to have minimal dilution to CEA Industries' shareholders.
"CEA Industries has long been active in the Canadian market, and we are pleased to take the next step in our evolution with this acquisition of Fat Panda, marking our entrance into the high-demand Canadian vape industry," said Tony McDonald, Chairman and CEO of CEA Industries.
The acquisition will continue the employment of the current management and of the production and retail staff, for the uninterrupted, continuous operations of the business. Certain of the senior management persons will enter into employment agreements for their continued employment after the closing of the acquisition.
For more information:
CEA Industries
www.ceaindustries.com