Aurora Cannabis Inc., a Canadian cannabis company based in B.C., just made a $3.2 billion deal with marijuana producer called Medreleaf Corp. The deal would allow the joint companies to produce more than 570,000 kilos of weed per year.
The deal would also allow the two companies to make their brand of marijuana available at chain stores across Canada, including Shoppers Drug Mart and Pharmasave. You'll also be able to find their product at provincial liquor stores, including SAQ in Quebec and Alcanna in Alberta.
The multi-billion dollar deal is the biggest one yet in Canada's marijuana industry. Aurora Cannabis and Medreleaf will have nine production facilities in Canada, and two in Denmark.
The two companies closed the deal in preparation for marijuana becoming legalized for recreational use in Canada. Originally, the Canadian government planned to make the legalization official by July. But, delays have pushed it back to August, or maybe even September.
According to the CEO of Aurora Cannabis, "The comibination strengthens our capacity to service the rapidly expanding global medical cannabis markets, and amplifies our early-mover advantage."
Source: Financial Post