\n<\/p>\n
MJBiz was just sold to Emerald X, a wholly owned subsidiary of Emerald Holding. The deal includes MJBizCon as well as related media and event brands such as MJBizDaily, Hemp Industry Daily, MJBizMagazine<\/em>, and The Emerald Conference.\u00a0<\/p>\n The $120 million cash deal includes potential earnouts based on financial performance. Emerald\u2019s Chief Financial Officer David Doft told Bloomberg<\/em> the earnout could pay an additional $30-50 million to MJBiz in 2023. MJBizDaily<\/em> reported the earnout \u201cwill be an amount equal to the EBITDA growth of MJBiz \u2014 calculated as an amount equal to the average MJBiz EBITDA over the past two years minus $13 million \u2014 multiplied by 9.3.\u201d\u00a0<\/p>\n The acquisition signals Emerald\u2019s expansion into one of the highest growth business sectors in North America. Emerald credits the purchase to MJBiz\u2019 38% compound annual revenue growth in the three years prior to the pandemic.\u00a0<\/p>\n MJBizCon is the industry\u2019s oldest business-to-business trade show, attracting tens of thousands of attendees each year. The 2021 show neared pre-pandemic attendance levels. Emerald organizes more than 150 events a year across numerous sectors. This is the company\u2019s first foray into the cannabis space.\u00a0<\/p>\n Emerald\u2019s President and CEO Herv\u00e9 Sedky said, \u201cThis is a transformational acquisition for Emerald as it represents an important next step in the implementation of our strategic initiatives and underscores our commitment to evolve and grow our customers\u2019 businesses 365 days a year.\u201d\u00a0<\/p>\n New ownership will not alter the MJBiz management team, including CEO Chris Walsh, Senior Vice President of Events and Sales Jess Tyler, and Senior Vice President of Content and Audience Development Pam Moore.\u00a0<\/p>\n MJBiz Co-founder and Chair of its Board said, \u201cOur organization has experienced massive growth since its inception, initially as a how-to resource to help dispensary owners run their businesses better, into our position today as the leading commercial resource for the cannabis sector.\u201d<\/p>\n Farrington added, \u201cWe chose Emerald because they clearly value the unique aspects of our brand and are committed to serving the industry\u2019s expansion.\u201d<\/p>\n Future MJBiz events include the Emerald Conference, February 27-March 1, 2022, and MJBizCon, November 15-18, 2022.\u00a0<\/p>\n