Article by Sunny Freeman, Financial Post
Canopy Growth Corp. has offered to acquire Toronto-based Mettrum Health Corp. for $430 million, forming a Canadian marijuana mega-company with a patient base that would dominate the Canadian market.
The all-stock definitive agreement announced early Thursday would see Canopy add two brands to its portfolio and increase its production capacity to six licensed facilities and 665,000 sq. ft. It also diversifies its offerings into hemp through Mettrum Originals. Smith Falls, Ont.,-based Canopy already owns the Tweed and Bedrocan Canada brands.
A combined company would have some 39,730 patients as of Sept. 30 — nearly half of Canada’s current medical marijuana patient base.
“From day one, Canopy Growth has viewed production capacity, brand diversity, and highly-skilled management as the foundational aspects of our business,” said Bruce Linton, Chairman and CEO of Canopy Growth.
“Their substantial production facilities will add to our growing production platform as we expand to meet the needs of patients, and their experienced personnel will help Canopy Growth drive our vision forward to the next level.”