Kush Bottles Plans to have an IPO in the Near Future

In December 2010, Kush Bottles was founded by Nick Kovacevich and two of his friends. Kush Bottles is an ancillary company focused on the rapidly growing cannabis industry. The company has grown at a rapid rate and is now the nation’s largest wholesale distributor of child safe, medical grade containers for the legal cannabis industry. Kush’s portfolio of products include its flagship Philips Rx Pop Top vial, prescription bags, labels, and a variety of accessories as well. 

Kush Bottles sells approximately one million marijuana bottles a month. The company wants to continue to grow their business so they can capitalize on a number of growth opportunities. According to Kovacevich, CEO of Kush Bottles, the company plans to have an initial public offering (IPO) in the near future.

Bottles meet packaging requirements of every state in the legal marijuana industry

“Our bottle is a little bit cooler, a little bit different which is what this industry wants and that’s not to be associated with the pharmaceutical industry,” said Kovacevich. 

Kush Bottles are manufactured in the United States with FDA-approved materials. The bottles have passed the child safety requirements set forth by the Consumer Product Safety Commission. Kovacevic said Kush meets all requirements and regulations for packaging in every state with a legal marijuana industry.

“There are a lot of nuances so we are talking about different regulations in each state which we know inside and out,” said Kovacevich. “We have catered our portfolio of products to match what our customers need in each state so they are compliant and above board in their practices. That’s what keeps a lot of the bigger guys out of this field.”

A growth story

Kush Bottles sells its products online and has a retail location in California. The company has warehouses in Denver and Seattle and Kovacevic wants to be ready to enter new markets when other states legalizes marijuana. Entering new markets, however, is not cheap and an IPO will provide Kush with the capital needed to expand.

Kush Bottles is finishing up its fiscal fourth quarter and Kovacevic approximates sales to be $3.8 million for the year. Although the company sold $1.7 million worth of marijuana bottles last year, Kush is not profitable only because it continues to reinvest in its business.

“We are looking to scale, we are looking to grow and those are the reasons why we are looking to go public,” said Kovacevic. “We want access to capital and continue growing at such a fast rate.” 

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Michael Berger is Managing Partner of StoneBridge Partners, LLC and Founder of Technical420.com. Prior to entering the cannabis industry, Michael was an Equity Research Analyst at Raymond James Financial covering the Energy Sector. Michael has been featured in publications such as The Street, Bloomberg, US Money News, and hosts various cannabis events across North America.

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