Greenlane Holdings, Inc. · NASDAQ:GNLN
Greenlane — Merger or Acquisition (March 2021)
12 slides from Greenlane's merger presentation, Mar 31, 2021
Slide 1: Greenlane Q4 2020 Earnings Call
g reenlane Q4 2020 Earnings call
Slide 2: Greenlane and KushCo to Merge to Create Leading Ancillary Cannabis Products and Services Company
Greenlane and kushco to merge to create Leading ancillary cannabis Products and Services company March 31, 2021 Optional color palette
Slide 3: Disclaimer: Cautionary Statement Regarding Forward-Looking Statements
DISCLAIMER Cautionary Statement Regarding Forward-Looking Statements This presentation includes forward-looking statements. These forward-looking statements generally can be identified by phrases such as “will,” “expects,” “anticipates,” “foresees,” “forecasts,” “estimates” or other words or phrases
Slide 4: Established Platform Well-Positioned to Capitalize on Industry Tailwinds
Established Platform Well-Positioned to Capitalize on Industry Tailwinds Enhanced Portfolio Depth and Innovation Pipeline to Deliver Value to Customers and Consumers A leader in cannabis accessories and ancillary services 1 Complementary Portfolio of Brands, Products & Services Offer Significant Cro
Slide 5: Transaction Structure and Management
Structure • Stock-for-stock combination with approximately 0.2546 Greenlane Class A shares received for each KushCo share (the “Base Exchange Ratio”), subject to adjustment(1) • Expected pro forma ownership to Greenlane stockholders of 50.1%(1) and to KushCo stockholders of 49.9%(1) • Base Exchange
Slide 6: Highly Complementary Offering of Brands, Products & Services
Vape Hardware & Technology Packaging and Supplies Consumer Goods Services Offering 1 of 4 Exclusive CCELL Distributors in the U.S. Leading brands in premium vape, spanning all product types Premium, customizable child-resistant packaging Leader in child-resistant, compatible, fully-customizable and
Slide 7: Complementary Revenue Base, Enhanced Scale and Financial Position
Complementary Revenue Base Enhanced scale and financial position 4 Note: CY 2020 revenue represents twelve months ended 12/31/20. 1. Pro forma equity value based on the respective share prices of Greenlane and KushCo at market close on 3/30/21. CY 2020 Revenue: $138m CY 2020 Revenue: $114m CY 2020 R
Slide 8: Serving the Entire Value Chain from Leading Operators to Retail and Consumers
Serving the Entire Value Chain from Leading Operators to Retail and Consumers 5 Growers & Processors Retailers Consumers Ta rg et C u st o m er s P ro d u ct O ff er in g KushCo’s deep U.S. MSO and Canadian LP upstream customer relationships coupled with Greenlane’s downstream focus and Greenlane ow
Slide 9: Meaningful Potential Synergies to Accelerate Profitability
Meaningful Potential synergies TO ACCELERATE PROFITABILITY 6 POTENTIAL COST SYNERGIES COGS & Operations Facilities Corporate •Optimization of Greenlane’s Supply & Packaging business • Leverage supplier relationships for reduced input costs, primarily for packaging • Leverage increased scale for impr
Slide 10: Well-Positioned to Capitalize on Macro Tailwinds
Cannabis Legalization Process • Arizona, New Jersey, Montana and South Dakota passed adult-use legislation in November 2020 • Mississippi passed medical in November 2020 • Virginia passed adult-use legislation in February 2021, to begin in 2024 • New York legislators reached agreement in March 2021
Slide 11: Experienced Industry Leaders
Experienced Industry Leaders 8 25+ years of operating history in the ancillary cannabis industry
Slide 12: Illustrative Pro Forma 2021 Outlook
Pro Forma / Combined Company $310 – $330 22% – 24% Positive $15 – $20 Annual run-rate pre-tax estimate within 24 months of transaction close Revenue Gross Margin % Adj. EBITDA (excl. synergies) US$ in millions. Figures represent calendar year ended 12/31/2021. Note: For illustrative purposes only an
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