One of Canada’s largest licensed medical marijuana producers acquired even greater, shopping for rival British Columbia cultivator Broken Coast Cannabis for 230 million Canadian dollars ($185 million) in inventory and money.
Aphria, based mostly in Leamington, Ontario, additionally expanded its presence in Australia, buying a 25% stake in an Australian MMJ producer for CA$2.5 million.
Aphria’s acquisition of Broken Coast bolsters the Ontario firm’s manufacturing capability forward of this summer time’s deliberate rollout of adult-use hashish.
Broken Coast operates a licensed cultivation facility on Vancouver Island.
As a part of the transaction, Aphria authorised Broken Coast’s plan to triple the dimensions of the Vancouver Island facility to 60,000 sq. ft, bringing the projected annual capability to 10,500 kilograms by early 2019.
Aphria stated the deal will increase its personal forecast manufacturing to 230,000 kilograms a yr.
The transaction was funded with CA$10 million in money and the rest in Aphria shares.
Separately, the corporate – traded on the Toronto Stock Exchange beneath the image APH – invested the CA$2.5 million in Australian-based Althea in trade for 25% of its shares.
Aphria may even present Althea with packaged, co-branded hashish oil and dried flower merchandise for the Australian medical hashish market.
Shipments are anticipated to begin this month.
In October, Aphria accomplished its first cargo of hashish oil to Australian medical life science firm Medlab Clinical.