Valens GroWorks buys Pommies Cider Co.
Published on November 14, 2019 by David Wylie
Kelowna-based cannabis extraction company, Valens GroWorks, has bought a cider company in Ontario.
Valens purchased Pommies Cider Co., located near Toronto in Caledon, Ont. The deal is worth up to $7.5 million.
“We are thrilled to add Pommies to our growing Canadian platform,” says Valens CEO Tyler Robson.
In Canada, retail alcohol sales were about $24 billion in 2018, says Robson. Cannabis drinks will be a major disrupter to that market.
“Adding the Pommies facility and team to our platform gives Valens the tools and expertise needed to bring competitive beverage alcohol substitutes to market and capitalize on this massive market opportunity.”
The purchase speeds up Valens’ commercial-scale entry into the high-growth beverages and edibles market in Canada. And it adds more white label product offerings.
Ontario being Canada’s most populous province (and currently the largest market for legal cannabis consumption) makes this a strategic geographical move for the Okanagan company.
Pommies’ owners to stay on
Valens will continue to employ Pommies’ former owners, Nick and Lindsay Sutcliffe.
“Nick and I are very proud of the role we played in the growth of the craft cider industry in Ontario,” Lindsay Sutcliffe told CaledonEnterprise.com.
“We are thrilled with this next step to have the opportunity to play a part in building the infused cannabis beverage category with Valens GroWorks.”
They’ll continue to produce their products and guide Valens in the transition of some of their facilities. Lindsay will be head of sales for beverages, while Nick will be head of business development for beverages.