Diddy Acquires Multiple Cannabis Businesses For $185 Million, Marking World’s Largest Black-Owned Cannabis Company
Hip-Hop mogul and businessman Sean “Diddy” Combs, 53, is venturing into the legal world of cannabis.
On Friday (Nov. 4) Diddy announced plans to make a major investment in the cannabis industry with a $185 million deal to buy licensed weed operations in New York, Massachusetts, and Illinois from Cresco Labs Inc. and Columbia Care Inc.
This move marks Diddy’s first investment in cannabis and will create the country’s first minority-owned, vertically integrated multi-state cannabis company, as well as the world’s largest Black-owned cannabis company.
According to reports, the deal includes four retail stores and one production facility in New York state, three retail stores and one production facility in Massachusetts, and two retail stores and one production facility in Illinois.
In a statement about the new deal, Diddy said,
“My mission has always been to create opportunities for Black entrepreneurs in industries where we’ve traditionally been denied access, and this acquisition provides the immediate scale and impact needed to create a more equitable future in cannabis.”
“Owning the entire process — from growing and manufacturing to marketing, retail, and wholesale distribution — is a historic win for the culture that will allow us to empower diverse leaders throughout the ecosystem and be bold advocates for inclusion.”
The operations in the three states will give Diddy the ability to grow and manufacture cannabis products and wholesale and distribute those branded products to licensed dispensaries in major metro areas including New York, Boston, and Chicago, as well as operate retail stores in all three states.
Columbia CEO Nicholas Vita had this to say:
“These assets offer the Combs’ team significant market presence, enabling them to make the most impact on the industry as a whole. It’s been clear to us that Sean has the right team to carry on the strong legacy of these Columbia Care and Cresco Labs facilities, and we can’t wait to see how he helps shape the cannabis industry going forward through his entrepreneurial leadership and innovation.”
While marijuana is legal in 19 states for recreational use by adults and in 39 states for medical use, it is still illegal under federal law.
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