Arcadia Biosciences(US:RKDA)2021-05-21 17:33Business Strategy - Arcadia Biosciences aims to create good-for-you foods and wellness products from proprietary wheat and hemp platforms[9] - The company intends to position GoodWheat as a global gold standard and leverage GoodHemp's first-mover advantage in the seed and CBD market[9] - Arcadia Biosciences plans to acquire complementary brands and supply chain verticality to increase value capture[9] Acquisition and Synergies - Arcadia Biosciences acquired SoulSpring, a CBD-infused botanical therapy brand, for $4 million in cash and 827,400 shares of common stock[13] - SoulSpring has $6 million in annual recurring revenues and potential for growth and synergy revenues[13] - The acquisition provides Arcadia Consumer Products with a channel network of 5,000+ doors and an opportunity to increase online presence from 5-15% to 25-35% of total revenue[17, 18] CBD Market Overview - The total Hemp CBD market in the US is projected to reach $20 billion[21] - Drinks are poised to show the strongest growth in the CBD category, with a compound annual growth rate (CAGR) of 65% from 2020-2025[22] Financial Results (Q1 2021) - Total revenues increased by 168% from $309,000 in Q1 2020 to $828,000 in Q1 2021[30] - Net income to common stockholders decreased by 19% from $2,525,000 in Q1 2020 to $2,058,000 in Q1 2021[30]