Sean “Diddy” Combs, adding a new pillar to his music, fashion, media and booze empire, becomes the latest celebrity to wade into the $27 billion American cannabis industry, but with a plan far more comprehensive than dropping a branded flower strain.
Combs will acquire retail, growing and manufacturing facilities in Illinois, New York and Massachusetts for an estimated $185 million, creating the first minority-owned vertically-integrated multi-state operator in the U.S.
The deal, with the mogul’s goal of building “the largest Black-owned cannabis company in the world,” happens in the wake of another headline-grabbing industry development in 2022. In March, cannabis titans Cresco Labs and Columbia Care agreed to merge, shedding certain assets as part of the agreement.
For his first foray into the space, Combs is scooping up those divested operations with the expressed purpose of diversifying the ownership and executive ranks in weed. His new venture will have a high-profile presence in key markets like New York, Boston and Chicago.
“My mission has always been to create opportunities for Black entrepreneurs in industries where we’ve traditionally been denied access, and this acquisition provides the immediate scale and impact needed to create a more equitable future in cannabis,” Combs, chairman and CEO of Combs Enterprises, said in a statement. “Owning the entire process—from growing and manufacturing to marketing, retail and wholesale distribution—is a historic win for the culture that will allow us to empower diverse leaders throughout the ecosystem and be bold advocates for inclusion.”
Via adweek
