Key Takeaways
- • Emerald Holding acquired MJBiz for $120 million in cash in early 2022, with earnout provisions potentially adding $30–50 million based on EBITDA growth through 2023, marking Emerald's first major entry into the cannabis sector.
- • The acquisition encompasses MJBizCon (the industry's largest annual B2B trade show), MJBizDaily, Hemp Industry Daily, MJBizMagazine, and The Emerald Conference—consolidating cannabis media and event leadership under one operator.
- • MJBiz demonstrated 38% compound annual revenue growth in the three years prior to the pandemic, underpinning Emerald's rationale for the deal as cannabis market expansion accelerated post-legalization.
- • Emerald itself has since been acquired by Apollo Global Management (a top-tier private equity firm) alongside Questex, signaling institutional capital's increased appetite for B2B publishing and events platforms with cannabis exposure.
- • MJBiz management—including CEO Chris Walsh and key executives—retained operational control post-acquisition, preserving continuity in the cannabis industry's most established conference platform.
Summary
Emerald Holding completed its acquisition of MJBiz in early 2022 for $120 million in cash, including a structured earnout mechanism tied to EBITDA performance. According to Emerald's Chief Financial Officer David Doft, the earnout could deliver an additional $30–50 million to MJBiz shareholders in 2023, calculated as EBITDA growth over a baseline adjusted for a $13 million threshold and multiplied by a 9.3 coefficient. The transaction represented Emerald's inaugural foray into the cannabis sector and reflected the company's strategic pivot toward high-growth verticals.
The acquisition consolidated cannabis industry leadership under Emerald's portfolio, encompassing MJBizCon—the sector's oldest and largest B2B trade show, consistently attracting tens of thousands of attendees annually—alongside complementary digital and print properties including MJBizDaily, Hemp Industry Daily, MJBizMagazine, and The Emerald Conference. Emerald, which operates over 150 events annually across multiple industries, identified MJBiz's historical 38% compound annual revenue growth trajectory in the pre-pandemic period as a compelling investment thesis aligned with anticipated cannabis market expansion following legalization waves across North America.
Hervé Sedky, Emerald's President and CEO at the time, characterized the acquisition as "transformational," emphasizing the deal's strategic alignment with efforts to deliver year-round value creation for cannabis industry participants. Critically, the transaction preserved operational independence for MJBiz's management team, with CEO Chris Walsh, SVP of Events and Sales Jess Tyler, and SVP of Content and Audience Development Pam Moore continuing in their roles, ensuring continuity in editorial voice and event execution.
Subsequently, Emerald Holding itself became acquisition target when Apollo Global Management—one of the largest private equity firms in the United States—agreed to acquire both Emerald and Questex, two major B2B publishing and events operators. This secondary transaction reflects institutional private equity capital's accelerating interest in B2B media and events platforms with cannabis market exposure, underscoring the sector's maturation and institutional investor confidence in cannabis-adjacent business models despite ongoing federal regulatory constraints.
The acquisition consolidated cannabis industry leadership under Emerald's portfolio, encompassing MJBizCon—the sector's oldest and largest B2B trade show, consistently attracting tens of thousands of attendees annually—alongside complementary digital and print properties including MJBizDaily, Hemp Industry Daily, MJBizMagazine, and The Emerald Conference. Emerald, which operates over 150 events annually across multiple industries, identified MJBiz's historical 38% compound annual revenue growth trajectory in the pre-pandemic period as a compelling investment thesis aligned with anticipated cannabis market expansion following legalization waves across North America.
Hervé Sedky, Emerald's President and CEO at the time, characterized the acquisition as "transformational," emphasizing the deal's strategic alignment with efforts to deliver year-round value creation for cannabis industry participants. Critically, the transaction preserved operational independence for MJBiz's management team, with CEO Chris Walsh, SVP of Events and Sales Jess Tyler, and SVP of Content and Audience Development Pam Moore continuing in their roles, ensuring continuity in editorial voice and event execution.
Subsequently, Emerald Holding itself became acquisition target when Apollo Global Management—one of the largest private equity firms in the United States—agreed to acquire both Emerald and Questex, two major B2B publishing and events operators. This secondary transaction reflects institutional private equity capital's accelerating interest in B2B media and events platforms with cannabis market exposure, underscoring the sector's maturation and institutional investor confidence in cannabis-adjacent business models despite ongoing federal regulatory constraints.
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