Investment in Cannabis: The Near Fall of Scotts Miracle-Gro

The Rise and Fall of Scotts Miracle-Gro’s Cannabis Venture

Ohio-based lawn care giant Scotts Miracle-Gro made a bold move almost a decade ago, betting $1.7 billion on the legal cannabis industry. The company created a pot-focused subsidiary called Hawthorne Gardening Company and acquired multiple cannabis cultivation supply companies, including grow light manufacturers, hydroponic supply outfits, and plant nutrient makers. At the time, only four states had legalized recreational marijuana. The move garnered attention and Scotts’ stock price started to rise.