Mergers, Acquisitions, and the Future of Cannabis Equipment

About the Episode

Marc returns to discuss the twists and turns you can expect as an entrepreneur. Early in  2020, Marc was ready to sell his company for a whopping $80 million, but then COVID hit, and the deal died. In this episode, Jacob and Marc discuss the interesting journey he has taken since then, a journey that includes a merger, an acquisition, an oversight with large repercussions, and a brand-new business.

“People make it happen. You build a great team, build a great culture –If it was easy, everybody be doing it. But if Success takes grit and hard work and time and try not to stress too much.”

Marc Beginin

What You’ll Learn

  • The importance of due diligence: Be cautious and thorough when conducting due diligence during mergers and acquisitions. Hidden liabilities can derail a deal.
  • Stand your ground: Maintain control and protect your interests as a founder and shareholder, even when facing pressure from other stakeholders.
  • Strategic partnerships: Explore strategic partnerships and mergers to consolidate operations and gain efficiencies – as demonstrated by the merger between Precision Extraction Solutions and Cascade Sciences.
  • Stay ahead of industry changes and regulations: The upcoming rescheduling of cannabis from Schedule I to Schedule III presents new opportunities for food and beverage companies to enter the market.

Topics Covered

How important is focus and learning in entrepreneurship? [1:00]
How did you go from an $80 million deal to adapting to COVID? [5:58]
How do you go about merging two companies in the cannabis industry? [18:25]
What was the process for being acquired by a public company? [36:34]
What happens if you don’t have a non-compete clause? [42:50]
What happened when someone suggested a hostile takeover? [48:22]
What changes should we expect in the Cannabis industry? [57:54]

Want More? Related Resources: 

Meet Our Guest

Marc Beginin

Marc Beginin

CEO, Prodigy Processing Solutions | Precision | Miami, Florida

Marc Beginin is the Founder and CEO of Prodigy Processing Solutions. He founded Precision Extraction Solutions with a $45,000 investment in 2014, growing it to $40 million in revenue by 2019, making it the largest player in the extraction equipment space. Following the strategic sale of Precision to Agrify Corporation for over $50 million, Marc launched Prodigy Processing Solutions, swiftly establishing it as an industry leader through innovative strategies and a focus on advanced technology.

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