Stemsation International Inc. (OTC: STSN) Stock Continues To Trend Higher On Acquisition News
Stemsation International Inc. (OTC: STSN) started the new week in a downturn, and it is going to be interesting to see if the situation is reversed over the coming days. However, the company did make a significant announcement yesterday, and it may be a good time to take a look.
Acquisition Announcement
Yesterday the company announced that it had successfully executed a letter of intent with regards to the conditions as well as the milestone requirements for the 100% acquisition of Gorilla Marketing Group LLC. It was noted that Gorilla Marketing was a privately owned marketing firm.
Key Details
However, more importantly, Gorilla Marketing is involved in the marketing of premium vape products sold under the AlienHouse brand. The products sold under that brand include disposable vape cartridges in a variety of flavors in addition to THC-P hemp derivative products. Additionally, Gorilla Marketing is also involved in marketing its own zombie-themed marketing materials and apparel.
Timeline
Once the acquisition is completed, the Gorilla Marketing management would join Stemsation International. However, it was also noted that, as per the terms of the Letter of Intent signed yesterday, definitive agreements would need to be reached and Gorilla Marketing would need to supply its audited financials for the acquisition to go through. Stemsation International stated that it expected the acquisition to be completed by the end of 2024.
Key Quote
“We previously announced our new focus on seeking an acquisition in the consumer goods space with an emphasis on the impulse spaces by the cash registers of convenience stores,” stated Benjamin Silber, CEO of StemSation International. “This has led to the execution of a letter of intent to acquire 100% of Gorilla Marketing Group,” he continued. “This is an active company that is already growing in the market space that offers us the greatest potential for mid- and long-term growth. We are working with the owners and management of GMG to create definitive documents and audited financials to complete the acquisition as quickly as possible. Once this first acquisition is completed, we will continue to seek additional companies and technologies to fuel consistent growth,” he concluded.
