Home Enterprise Tech Cannabis giant Leafly is going public through a SPAC merger

Cannabis giant Leafly is going public through a SPAC merger

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Cannabis giant Leafly is going public through a SPAC merger

Leafly is turning to a SPAC with Merida Merger Corp. I to head public. The deal, valued at about $532 million and expected to generate proceeds of as much as $161.5 million, involves Leafly’s latest capital raise of $31.5 million from investors, in conjunction with Merida Capital Holdings.

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The company is expected to list on Nasdaq below the ticker symbol of LFLY as Merida will adopt the Leafly name. Existing Leafly shareholders will have about 72% of the merged company. The deal is expected to shut in the fourth quarter of 2021.

Leafly was based in 2010 and has grown into a leading marketplace and helpful resource. The company affords a deep library of state material for shoppers, in conjunction with detailed information about strains, retailers and unique occasions. For retailers, Leafly affords a subscription-based platform that 7,800 brands and 4,600 retail subscribers use. According to a account, the company is expected to seek revenue hit $43 million in 2021 and $65 million in 2022.

Despite the successes, Leafly experienced a turbulent 2020, with layoffs and leadership changes. Yoko Miyashita took over as the company’s CEO in August 2020 and has been centered on Leafly, leaning heavily into constructing a better online having a contemplate expertise. In February 2021, the company partnered with Jane to give a enhance to Leafly’s e-commerce tools.

By going public through a SPAC, Leafly is signaling it’s getting into a dispute phase factual in time for the U.S. authorities to loosen cannabis restrictions.

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Cannabis giant Leafly is going public through a SPAC merger