Akerna (Nasdaq: KERN), a leading enterprise software company and the developer of the most comprehensive technology infrastructure, ecosystem, and compliance gateway powering the global cannabis industry, announced it has closed the acquisition of 365 Cannabis, a cannabis ERP and business management software system built on Microsoft’s Dynamics 365 Business Central, in a $17 million deal.
The combined complementary key capabilities of Akerna and 365 Cannabis will:
- Add the most robust cannabis-compliant Microsoft ERP on the market, establishing Akerna as the broadest portfolio of technology solutions provider for cannabis operators with a majority of the mainstream mid-market to enterprise finance, inventory, and operations solutions
- Offer cannabis operators a seamless solution from startup to multi-state operator while maintaining regulatory compliance every step of the way through Akerna’s compliance gateway
- Give 365 Cannabis’ 85+ customers, including Pharmacann, Nectar, Revolution, Sundial, and Kiaro, access to Akerna’s compliance gateway, feature-rich reporting, MJ Retail POS, and the recently launched Akerna Connect.
An updated investor deck on the transaction is available at: ir.akerna.com.
“The 365 Cannabis acquisition represents the final piece of the puzzle for connecting cannabis compliance with mainstream ERP offerings to give our clients a choice between all of the most popular financial and operational systems,” said Jessica Billingsley, Akerna CEO. “We are proud to offer cannabis operators the most comprehensive cannabis technology ecosystem of the best-in-class tax, financial, compliance, consulting, training, data analytics, product development, and more.”
As the cannabis industry experiences continued growth and the possibility of US federal reform increases, cannabis operators are seeking to grow their operations and expand into new markets. To reach those growth goals while meeting multistate compliance, cannabis operators require a comprehensive ERP system, like Akerna’s, that can scale with them.
Akerna has partnered with SAP, Sage Intacct, and other leading financial and tax planning providers to offer cannabis operators a solution for each stage of their evolution – from startup to multistate operator (MSO) – while maintaining regulatory compliance through Akerna’s compliance gateway. The acquisition of 365 Cannabis accelerates the deployment of this strategy with the addition of Microsoft capabilities, further establishing Akerna as the most robust cannabis-compliant ERP system offering a complete portfolio of mainstream tax and financials.
“We’re thrilled for this acquisition to be finalized and to officially be a part of the Akerna family of brands. Akerna’s clients have a true path to scalability while remaining in the Akerna ecosystem. 365 Cannabis’ clients will receive access to a more robust platform, a large pool of integrations and complementary products, and a broader support team. Overall, this acquisition provides unparalleled opportunities for growth to service current and future clients, expansion into new markets, and supports client retention through product, service, and reach,” said Jeff Kiehn, 365 Cannabis Chief Executive Officer.