As companies across the country are downsizing, industry-leading cannabis testing facility ACS Laboratory is expanding. On May 13, the company acquired Botanica Testing Inc., a certified hemp and CBD testing laboratory.
The move comes as more than 36 million Americans are filing for unemployment due to the COVID-19 pandemic. Though cannabis companies have been deemed essential, many have still struggled with lower than average sales.
Even 4/20 brought in lower-than-expected revenues as people curbed spending to prepare for the economic fallout from the virus. ACS’ expansion is encouraging news for the industry and even better news for Botanica and their shareholders.
The acquisition will supply the company with five-hundred new clients and extend their reach into a total of 44 states nationwide.
President of ACS Laboratory Roger Brown noted that they were sought out by Botanica for their award-winning quality and service. “Botanica chose ACS as a suitor because they felt the quality of work we perform exceeded any other competitors and they wanted a good home for their existing clients,” Brown explained.
ACS is the largest DEA licensed, CLIA licensed, ISO accredited, hemp/CBD and cannabis testing facility in the Eastern U.S.
They’re one of the first labs to test for CBT, a cannabinoid that’s been gaining popularity in recent years. They’ve also gained a reputation as one of the few to test for Polycyclic Aromatic Hydrocarbons, which are carcinogenic chemicals sometimes present in extracts.
According to Brown, this is just one of many acquisitions to come: “We are currently in discussions with leading hemp and cannabis laboratories throughout the country. The Botanica agreement is the first step in a large journey to acquire reputable companies across the United States and have the largest footprint of any cannabis and hemp testing laboratory.”
As investors, business owners, and employees across the country search for signs of economic growth, ACS’ acquisition is heartening news.