Aurora Announces Deals to Acquire Quebec MMJ Producer, Greenhouse Design Firm

TG BranfaltMedical Cannabis0 Comments

Aurora Cannabis announced deals to acquire two companies on Thursday – H2 Biopharma Inc., a late-stage Canadian medical cannabis production applicant, and Larssen Ltd., a greenhouse design firm.

In total, Aurora will pay $25 million for H2, with an initial $10 million payment; all of which will be paid through the issuance of Aurora common shares. According to a press release, H2’s cultivation facility in Lachute, Quebec facility is 80 percent complete and will be Aurora’s second in the province.

“Our participation in the final design and construction of H2’s purpose built facility will allow us to leverage our experience, technology, and systems to improve performance and yields beyond the original design,” Aurora CEO Terry Booth said in a statement, adding that the Larssen acquisition “will play an instrumental role” in that process. Larssen is currently involved with more than 15 cannabis industry clients globally, including five Canadian producers. The transaction will see the creation of a subsidiary, Aurora Larssen Projects Ltd., and Thomas Larssen, the principal of the greenhouse firm, will serve as its president.

“Our decision to join forces with Aurora in this evolving industry was not difficult,” he said in a statement. “Joining the Company will allow us to leverage the incredible brand recognition Aurora enjoys, both within and outside of the cannabis sector.”

The terms of the Larssen deal were not disclosed. The H2 deal is contingent with Toronto Stock Exchange approval.

Aurora is also in the midst of a hostile takeover of Canadian licensed producer CanniMed, in which they are offering to buy out CanniMed shareholders at 57 percent more than its Nov. 14 closing price.

Source: Ganjaprenuer

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