Photo: Rick Wilking / Reuters
A major canadian manufacturer of legal cannabis Aurora Cannabis Inc. bought its competitor MedReleaf Corp. The amount of the transaction is approximately $ 2.5 billion. This is stated in the press release of the company.
As noted in the document, the results of the transaction to the shareholders of Aurora Cannabis will own 61 percent of the combined company, to shareholders of MedReleaf the remaining 39 percent. The new organization will own nine plants in Canada and two in Denmark. After the merger, the company will be able to produce more than 570 thousand kilograms of cannabis per year, according to a press release.
Aurora Cannabis and MedReleaf, one of the largest in the canadian market. According to Bloomberg, Aurora capitalization is $ 3.5 billion, the capitalization of MedReleaf to $ 1.6 billion. The transaction concluded was the largest in the history of the producers of legal cannabis.
The merger happened shortly before the legalization of marijuana in Canada at the Federal level — the law should come into force in July 2018. Medical marijuana legal throughout the country in 2013.
Video, photo All from Russia.