ASX pot-stock RotoGro scores key fertigation acquisition

By Zoe Gross. Published at May 17, 2018, in ASX Biotechs

Cannabis tech company, RotoGro World Wide (ASX:RGI), announced today that it is acquiring the fertigation assets and ongoing contracts of Hanson’s Water Treatment Inc., via its wholly owned subsidiary, Global Fertigation Solutions (GFS).

This acquisition gives RGI leverage to Hanson’s specialised fertigation business line for water treatment and nutrient management in the viticulture, perishable foods and legalised cannabis space.

Fertigation is the injection of fertilizers, soil amendments, and other water-soluble products into an irrigation system. Notably, fertigation is paramount to modern hydroponics, making this acquisition a pivotal one for RGI, whose business is centred around stackable hyroponics garden systems.

The fertigation solution developed by the Las Vegas-based Hanson is a patent-pending, fully-automated nutrient delivery system, which purifies source water and adds client-specified recipes of nutrients to maximise yields and optimise cost efficiencies during the growth cycle of each crop.

To date, Hanson Fertigation has successfully provided design solutions, installations and ongoing service for more than 12 licensed lawful cannabis facilities in the State of Nevada.

Hanson president, Stephen C. Everett, commented: “We are very excited with the acquisition by RotoGro as it will accelerate the global expansion of our patent-pending fully-automated nutrient delivery system.

“With more than 30 years of market-proven experience working in the water treatment, agriculture and nutrient space, starting with viticulture and perishable foods, we have been able to drive risk reduction and economies of scale, integrating technology and science to the art of growing.”

RGI managing director, Michael Carli, said: “The acquisition of Hanson Fertigation is a key milestone in building the full suite of capabilities to provide our customers with a turnkey solution from ‘concept to harvest’. The fertigation business is the first cornerstone in our third vertical that provides solutions to all forms of agriculture: from field crops to greenhouses to flat deck hydroponics.

“This acquisition expands the RotoGro Rotary Garden System capabilities on an enterprise level,” added Carli. “The opportunities for revenue growth are immense, with secured orders to date in excess of USD$1M for 2018. Building on the focused penetration in Nevada, the opportunities across all agricultural applications globally are very exciting”.

It’s worth noting here that this is an early stage play and investors should seek professional financial advice if considering this company for their portfolio.

The acquisition sees RGI acquiring 100 per cent of the Hanson Fertigation assets, intellectual property, ongoing contacts, key personnel, industry know-how and business goodwill.

The acquisition consideration is equivalent to three times Hanson Fertigation’s 2017 financial year EBITDA. The agreed valuation will be paid through the issue of 5,000,000 fully paid ordinary shares in the capital of RGI.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!