Alberta’s Aurora Cannabis has agreed to accumulate privately held British Columbia-based Whistler Medical Marijuana Corp. – certainly one of Canada’s first licensed producers – for 175 million Canadian dollars ($131 million) in an all-share transaction.
The acquisition will add Whistler’s acknowledged cannabis model to Aurora’s portfolio. It additionally supplies Aurora a confirmed export channel.
Whistler already has expertise delivery merchandise abroad, having bought medical cannabis derivatives to corporations in Australia and the Cayman Islands.
Whistler’s two indoor licensed manufacturing amenities are anticipated to have a mixed manufacturing capability of greater than 5,000 kilograms (11,000 kilos) per yr, Aurora stated in a information launch.
The firm’s newer facility, situated outdoors Whistler, will allow Aurora to provide high-margin natural medical cannabis merchandise to the European market as soon as it’s EU Good Manufacturing Practice licensed.
Whistler additionally possesses a deep product portfolio with a genetics financial institution of over 150 strains.
The firm is licensed by the Fraser Valley Organic Producers Association.
The acquisition settlement consists of milestone funds based mostly on Whistler attaining sure operational aims.
For Aurora – by no means shy within the M&A market – this represents its first main acquisition this yr.
“We intend to accelerate the completion of Whistler’s Pemberton expansion project and leverage our domestic and international distribution channels to increase market reach for their exceptional products,” Aurora CEO Terry Booth stated within the launch.
Aurora trades as ACB on the New York Stock Exchange and Toronto Stock Exchange.