Aleafia Health Inc. has signed an agreement to acquire a 160,000 sq. ft. modern, fully- automated greenhouse facility in Niagara-region including its advanced growing equipment for $9.6 million. The transaction is expected to close on July 4, 2018.
Aleafia is one of Canada’s leading vertically integrated medical cannabis companies focused on “patient-centric” medical cannabis care.
- The 160,000 sq. ft. Niagara facility has an immediate expansion capability of another 20,000 sq. ft.
- Both the 160,000 sq. ft. Niagara facility along with the 150,000 sq. ft. Scugog expansion plan are fully funded.
- Given the modern state of the Niagara greenhouse, Aleafia is expected to accelerate its production capacity and in turn respond more quickly to its patients needs.
- Aleafia has an experienced production team in place that has been successful in acquiring four production licences from Health Canada.
- A second site licence application will be submitted to Health Canada under the Access to Cannabis for Medical Purposes Regulations (ACMPR) for the newly acquired Niagara facility.
- It is expected that Aleafia will align its production of quality standardized strains of medical cannabis to its data base of information which sets out the needs of its patients based on those patients’ medical conditions.
- The advanced automation and strategic layout at the Niagara greenhouse facility requires minimal retrofitting and it is expected that Aleafia will achieve a greater production capacity at a lower cost.
- It is expected that the transaction will be treated as an expedited acquisition for purposes of the policies of TSX Venture Exchange. The transaction is subject to acceptance of the TSX Venture Exchange.
“This latest Aleafia acquisition is a major strategic achievement for the Company that strongly positions us for success as we continue to execute on the next phase of our operations,” said Aleafia’s Executive Chairman Julian Fantino