Yooma Wellness acquires US cannabinoid ingredient maker for $25m

By Deanna Utroske contact

- Last updated on GMT

© Getty Images \ (kazuma seki)
© Getty Images \ (kazuma seki)

Related tags: CBD, cannabinoids, acquisition, Canada

This week Yooma announced having closed an acquisition deal with Montana-based Socati Corp—a transaction that expanded the Yooma Wellness (skin care and beauty) business in to the US.

Earlier this month, Cosmetics Design reported news of Yooma’s plans to buy 4 skin care and wellness brands, including the CBD skin care brand Blossom​. That deal adds to Yooma Wellness’ potential in the Asia consumer market, while this latest deal is about an international sourcing strategy. But this isn’t the first time Socati ingredients have gone beyond beverages and ingestibles to include beauty.

Avid readers of Cosmetics Design may also recall a news item from several years back about a partnership between grape juice maker Welch’s and Blue Marble Biomaterials​. Blue Marble is a subsidiary of Sociati and teamed up with Welch’s to explore upcycling the grape juice production side-stream materials into fragrance and cosmetic ingredients.

Buying into the US CBD and cannabinoid ingredient sector

The Socati Corp deal brings with it that company’s IP on cannabinoid extraction and separation. And the certified USDA Organic company has analytical capabilities at its 22,000 square foot site in Montana. Socati produces CDD, CBG, and CBN as well as private label beverages, tinctures, and gummies.

In this week’s press release about the acquisition, Lorne Abony, Chairman of Yooma says that “Socati's unique ability to deliver consistent cannabinoid ingredients and finished products that meet industry-leading quality standards makes Socati a natural fit for Yooma.”

And he emphasizes that “the Socati acquisition further expands Yooma's global footprint by adding Socati's customer base which includes some of the largest consumer brands in the CBD and wellness space across North America.”

Related topics: Business & Financial

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