California-focused High Hampton Holdings Corp (CSE:HC) revealed it had closed its previously announced acquisition of CaliGold.
This is a California company, which owns the CALIGOLD Edibles brand.
The deal adds seven multi-strain flavoured award-winning chocolate bars in dispensaries across California, with other products ready to launch, and 18 years' combined experience to its management team between Co-founders Daniel Hood and Jonathan Schwartz
"We are very excited to build our future in the cannabis industry together with the High Hampton group of companies," said Daniel Hood, co-Founder of CALIGOLD.
"We look forward to working with our sister companies; CoachellaGro and 8 Points, as well as, the High Hampton executive team as they continue to build a solid portfolio of vertically integrated Cannabis companies."
High Hampton is developing a 254,000 sq ft greenhouse in the cannabis industrial park in the city of Coachella in California.
CALIGOLD is now the fourth 100% owned subsidiary by High Hampton.
In consideration, shareholders of CALIGOLD received over 13mln High Hampton shares, which are subject to escrow and released on certain dates or conditions.
High Hampton has also made available US$2.6mln to CALIGOLD to further its product development, marketing, sales and working capital.
"CALIGOLD with its award-winning products and established distribution network bolsters our growing position in California and fits perfectly with our consolidation strategy for this burgeoning market," David E. Argudo, chief executive and director of High Hampton, told investors.
High Hampton shares fell 6.78% to C$0.55.