Canapar Corp. announced a definitive agreement with RAMM Pharma Corp. for RAMM to acquire all the remaining common shares of Canapar. In exchange, Canapar will receive approximately 21 million common shares in RAMM for a total purchase price of approximately CA$26.2 million. Under the agreement, Canapar shareholders will receive approximately 0.54 RAMM shares for each share held in Canapar. This transaction follows RAMM’s acquisition of 49% of common shares in Canapar in December 2020.
“We expect that deepening our partnership with RAMM further builds Canapar’s capacity to grow its market share in the European and global cannabis markets,” said Sergio Martines, CEO, Canapar. “From our high-performance facility in Ragusa, Italy we aim to manufacture and distribute brands from both the RAMM and Canapar portfolios, using our expertise in extraction, ability to produce at scale, and combined working capital position of approximately $27 million to market world-class CBD products.”
Following the acquisition and certain approvals from European and Italian regulators, Canapar expects to leverage RAMM’s expertise in cannabinoid pharmaceuticals to deepen its product portfolio. This includes exploring the expansion of NettaVet 10%, a CBD formulation for veterinary medicine recently approved by Uruguayan government, to the European market, as well as the expansion of Marishanti, Canapar’s wellness brand, to South American markets.
“This is a transformational acquisition for RAMM as it further strengthens our presence as a leader in the European cannabis market with a prominent and differentiated global cannabis platform,” stated Jack Burnett, Chief Executive Officer of RAMM.
Upon closing of the transaction, Sergio Martines will be appointed to RAMM’s board of directors. Martines will also be appointed to RAMM’s management team and will remain in his role as CEO of Canapar. The transaction will take effect after a special meeting of RAMM’s shareholders on June 11, 2021.
About Canapar Corp.
Canapar with its wholly owned subsidiaries in Europe is an Italy-based manufacturer and processor of CBD oil, distillates and isolates, which are increasingly used as an input into new commercial products in the health and wellness industries. Canapar had secured more than 1,000 hectares of hemp through its outsource farming model and entered into an academic partnership with the University of Catania’s Department of Agriculture. A video overview of Canapar’s operations can be found on-line, and additional information about Canapar and can be found on its website at https://www.canapar.com/.
About RAMM Pharma Corp.
Led by renowned cannabis industry experts and backed by successful pioneers in the cannabis sector, RAMM is a leader in the field of cannabinoid pharmacology and product formulation for cannabis-based pharmaceuticals and other cannabis-based products. Additional information about the Company is available at www.RAMMpharma.com.
