TPB Increases Stake in ReCreation Marketing

Turning Point Brands has increased its equity stake in ReCreation Marketing, a Canadian distribution company, from 50 percent to 65 percent.

ReCreation Marketing is a specialty marketing and distribution firm focused on building brands in the Canadian smoking accessories, vaping and alternative products categories. As part of this transaction, ReCreation will transition its company name to Turning Point Brands Canada Corp. over the next 90 days.

ReCreation has significantly expanded the reach of Zig-Zag papers, which now has presence in 75 percent of the volume-weighted distribution within the private dispensary channel. As a result of the ReCreation partnership, TPB expects to continue to expand its presence in Canada, creating an avenue for its broader portfolio of products to enter the Canadian market.

“Increasing our stake in ReCreation Marketing was a logical move as Turning Point Brands continues to invest in the cannabis and tobacco-related sectors,” said Larry Wexler, CEO of Turning Point Brands, in a statement.

“Our partners at ReCreation Marketing are significantly expanding the distribution of our brands while also gaining market share in Canada, most notably capitalizing on Zig-Zag’s strong market position in the country. The increased stake and renaming into Turning Point Brands Canada signify the commitment to our strategy in Canada. We look forward to continuing to work closely with this accomplished team to strengthen our prominence in the market.”

“Turning Point Brands’ robust portfolio of leading brands, coupled with ReCreation Marketing’s proven ability to support distribution in traditional and alternative channels, is a natural expansion of our work together,” said Chris Riddoch, president of ReCreation Marketing. “This transaction will provide both companies the opportunity to penetrate the market and to increase our visibility and accessibility to Canadian retailers and consumers alike.”