Meta Growth Corp., a Canadian recreational cannabis retailer, announced that it has sold its Canadian medical clinics business unit to The Clinic Network Canada Inc. (“TCNC”) for total consideration of up to $800,000, of which $500,000 in cash was received on transaction close, with an earn-out of up to $300,000 within 12 months after close paid in common shares of TCNC.
Given the continued expected growth of the Canadian recreational cannabis retail market, particularly within the province of Ontario, META’s strategic focus has shifted from medicinal to recreational cannabis. The divestiture of its Canadian medical clinics completes the disposition of its portfolio of medicinal cannabis assets, having recently sold its Australian medicinal cannabis clinics, as well as its Canadian pharmacy business unit. These divestitures have allowed the Company to monetize non-core assets into total consideration of up to $2,800,000 to assist in funding its recreational cannabis expansion initiatives.
TCNC is a private company based in Toronto and one of the largest providers of out-of-hospital pain management services in Canada. The company owns and operates 17 community-based clinics across Canada, where its team of health professionals work together to help patients using a variety of interdisciplinary approaches to treat chronic pain, including medicinal cannabis. As one of the leading suppliers of medical cannabis services in Canada, TCNC has developed an expertise in harm reduction and medicinal cannabis as an alternative to traditional opioids.