DENVER, March 11, 2021 /PRNewswire/
-- Akerna (Nasdaq: KERN) ("Akerna" or the
"Company"), an enterprise software company, leading compliance
technology provider, and developer of the cannabis industry's first
seed-to-sale enterprise resource planning (ERP) software technology
(MJ Platform®), announced it has signed an agreement to
acquire Viridian Sciences, a cannabis business management
software system built on SAP Business One. This announcement comes
on the heels of Akerna's MJ Platform, achieving SAP®
certification as integrated with SAP NetWeaver®, last
month.
Acquisition of Viridian creates the sector's only SAP Business One
solution
The all-stock deal is accretive to revenue and earnings and is
expected to contribute positive cash flow. As a result of the
acquisition, Viridian's 30+ clients will gain access to Akerna's
Compliance Gateway, feature-rich reporting, and the recently
launched MJ Retail app. Akerna has partnered with ERP solutions
such as SAP and other leading providers for integrated financials
& tax planning, offering cannabis operators a solution for each
stage of their evolution from startup to multi-state operator --
all while maintaining regulatory compliance through Akerna's
Compliance Gateway. The acquisition of Viridian accelerates the
deployment of this strategy and establishes Akerna as the only
cannabis-compliant SAP Business One offering.
"Cannabis operators are quickly becoming a more sophisticated
buyer of technology, demanding ERP solutions that scale with their
business and also provide the security of multi-state compliance,"
commented Akerna Chief Executive Officer Jessica Billingsley. "Industry leaders have
chosen Viridian for the reliability of SAP Business One and we are
excited to bring additional value to the Business One offering
through Akerna's more than 80 integrations and broader compliance
solution. As we prepare for a post-legalization landscape, Akerna
is focused on strengthening our channel connections with existing
ERP providers and firmly solidifying our strategic moat as the only
scaled cannabis compliance and technology provider."
Businesses employ ERP solutions to manage their functions in a
centralized system, bringing business intelligence and data,
compliance and risk management, customer management, human
resources, inventory, finance, and supply chain information
together. By using ERP products, organizations can save money and
improve functionality with one tool.
"Combining with Akerna gives Viridian the ability to accelerate
growth in new markets, as we leverage Akerna's extensive compliance
and partner integrations, furthering our strategy of creating the
best-in-class ERP solution for the cannabis industry," says
Grant Fraser, Chief Executive
Officer of Viridian Sciences. "We founded Viridian with the goal of
becoming the premier SAP Business One cannabis solution and,
through this combination with Akerna, we are achieving that goal
for our business and our clients."
"Working with Viridian has provided Wana with greater visibility
and control over our supply chain, production management, and
financial health, and we are excited to see the relationship
continue to grow with both Viridian and Akerna," noted Logan Craven, Chief Financial Officer of
Wana. Viridian clients include Wana, Trulieve, iAnthus,
Herbl, Canndescent, and many more prominent cannabis operators and
brands.
The acquisition is expected to close in April. More details will
be covered in Akerna's upcoming earnings call. As a reminder,
Akerna has changed its fiscal year-end from June 30 to December 31.
A.G.P./Alliance Global Partners is acting as financial advisor
and Dorsey & Whitney LLP is acting as legal counsel to Akerna.
Solganick & Co. is acting as the exclusive financial advisor
and Ballard Spahr LLP is acting as legal counsel to Viridian
Sciences.
About Akerna
Akerna (Nasdaq: KERN) is an enterprise software company focused
on compliantly serving the cannabis, hemp, and CBD industries.
Based in Denver, Colorado, the
Company's mission is to create the world's most transparent and
accountable supply chain by building a cannabis technology
ecosystem connecting data points across the global cannabis supply
chain from seed to sale to self. First launched in 2010, Akerna has
tracked more than $20 billion in
cannabis sales to date and is the first cannabis software Company
listed on Nasdaq.
Using connected data and information to propel the cannabis
industry forward, Akerna empowers businesses, governments,
patients, and consumers to make smart decisions. The Company's
cornerstone technology, MJ Platform, the world's leading
infrastructure as a service platform, powers retailers,
manufacturers, brands, distributors, and cultivators. Akerna also
offers a complete suite of professional consulting services and
data analytics for businesses as well as solo sciences, MJ Freeway,
Leaf Data Systems, Trellis, and Ample Organics.
For more information, visit https://www.akerna.com/.
About Viridian Sciences
Viridian Sciences is a fully integrated cannabis business
management software system built on SAP Business One. Along
with its venerable SAP Business One ERP core, its dedicated team of
technology, business, and cannabis industry experts have become the
trusted partner to many of the premier cannabis
companies.
For more information, visit
https://www.viridiansciences.com/
The securities to be offered pursuant to the acquisition have
not been, and will not be, registered under the U.S. Securities Act
of 1933, as amended (the "U.S. Securities Act") or any U.S. state
securities laws, and may not be offered or sold in the United States absent registration under
the U.S. Securities Act and all applicable U.S. state securities
laws or compliance with the requirements of exemptions therefrom.
This news release shall not constitute an offer to sell or the
solicitation of an offer to buy securities in the United States, nor shall there be any sale
of these securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful.
Forward-Looking Statements
Certain statements made in this release and any accompanying
statements by management are "forward-looking statements" within
the meaning of the "safe harbor" provisions of the United States
Private Securities Litigation Reform Act of 1995. When used in this
press release, the words "estimates," "projected," "expects,"
"anticipates," "forecasts," "plans," "intends," "believes,"
"seeks," "may," "will," "should," "future," "propose" and
variations of these words or similar expressions (or the negative
versions of such words or expressions) are intended to identify
forward-looking statements. Such forward-looking statements include
but are not limited to statements regarding the the timing and
completion of the acquisition of Viridian, the potential deal being
accretive to revenue and earnings and the expectation it will
contribute positive cash flow, Akerna bringing additional value to
the SAP Business One offering, Akerna giving Viridian the ability
to accelerate growth in new markets, Viridian becoming the premier
SAP Business One cannabis solution, the ability of Akerna to
integrate Viridian, the impact of the acquistion for Viridian's
customers, Akerna's future business plans, Akerna's potential
business strengths in the market and any other statements
expressing the views of Akerna's management on future business
results or strategy. These forward-looking statements are not
guarantees of future performance, conditions or results, and
involve a number of significant known and unknown risks,
uncertainties, assumptions and other important factors, many of
which are outside Akerna's control, that could cause actual results
or outcomes (including, without limitation, the results of Akerna's
contracts, strategic initiatives, and business plans as described
herein) to differ materially from those discussed in the
forward-looking statements. Important factors, among others that
may affect actual results or outcomes, include (i) Akerna's ability
to recognize the anticipated benefits of being a public company,
(ii) competition, (iii) Akerna's ability to grow and manage growth
profitably, (iv) Akerna's ability to maintain relationships with
customers and suppliers and retain its management and key
employees, (v) costs related to being a public company, (vi)
changes in applicable laws or regulations, (vii) Akerna's ability
to identify, complete and integrate acquisitions, including
Viridian, and achieve expected synergies and operating efficiencies
in connection with acquired businesses, (viii) and other risks and
uncertainties disclosed from time to time in Akerna's filings with
the U.S. Securities and Exchange Commission, including those under
"Risk Factors" therein. Actual results, performance, or
achievements may differ materially, and potentially adversely, from
any projections and forward-looking statements and the assumptions
on which those vary from forward-looking statements are based.
There can be no assurance that the data contained herein is
reflective of future performance to any degree. You are cautioned
not to place undue reliance on forward-looking statements as a
predictor of future performance as projected financial and other
information, are based on estimates and assumptions that are
inherently subject to various significant risks, uncertainties and
other factors, many of which are beyond Akerna's control. All
information herein speaks only as of the date hereof, in the case
of information about Akerna, or the date of such information, in
the case of information from persons other than Akerna. Akerna
undertakes no duty to update or revise the information contained
herein. Forecasts and estimates regarding Akerna's industry and end
markets are based on sources believed to be reliable; however,
there can be no assurance these forecasts and estimates will prove
accurate in whole or in part.
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SOURCE Akerna