+ 0.74
+ 0.42%

Halo Labs Acquires Canmart To Distribute Medical Cannabis To UK Pharmacies

October 5, 2020 9:34 am
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More

Halo Labs Inc. (NEO: HALO) (OTCQX:AGEEF) agreed to buy U.K.-based medicinal cannabis company Canmart Ltd. in exchange for about 72.5 million common shares.

The Toronto-based company confirmed the deal on Sunday.

Canmart, an importer and distributor of licensed cannabis products, provides cannabis to various U.K. pharmacies and clinics. It was founded by entrepreneurs David Dean and Darran Quin (pictured.

The acquisition is scheduled to close on or before Oct. 30, depending on when Halo receives approval from Toronto-based NEO Exchange Inc.

Halo agreed to issue some 27.9 million of its shares at closing. The two remaining tranches would be issued once certain performance milestones are achieved within the two years following the acquisition's finalization.

The company said it anticipates carrying out the sale of legally imported prescriptions to 50 unique patients and import of £150,000 of medical cannabis products at a cost that would yield profitable sales.

In addition, the company noted it would issue some 5.4 million of its shares to consultancy firm Anmoho LLC as a compensation.

Halo's co-founder and head of International Operations, Andreas Met, called the deal "exciting," and touted that the U.K. cannabis market is poised to surpass Germany's over the next four years.

It "potentially could be the largest single medical cannabis market in the world," Met said.

The vertically-integrated cannabis company operates within California, Oregon, and Nevada and internationally through Bophelo Bioscience & Wellness (Pty) Ltd. The subsidiary oversees cultivation and manufacturing operations in Lesotho.

Met further pointed out that Canmart's acquisitions, "fueled by our Lesotho grow operations—positions Halo to grow rapidly in the UK market, a key component of our international growth plan," adding that they intend to import product grown at Bophelo to the U.K. in the year to come.

Related Articles

Cannabis Stock Gainers And Losers From October 30, 2020

GAINERS: Golden Leaf Holdings (OTCQB: GLDFF) shares closed up 14.71% at $0.02 read more

Green Thumb Industries Sells $79M Stake To Undisclosed Investor

Green Thumb Industries (CSE: GTI) (OTCQX: GTBIF) confirmed Friday that an undisclosed institutional investor bought 5.5 million subordinated voting shares in the company for $79 million. read more

A United Nations Vote On Cannabis Recommendations Would Be Historic

The United Nations Commission on Narcotic Drugs (CND) is slated to vote on cannabis recommendations from the World Health Organization (WHO) on Dec. 2. read more

Harvest Health Opens 8th Pennsylvania Store In King of Prussia

Vertically integrated cannabis company Harvest Health & Recreation Inc. (CSE: HARV) (OTCQX: HRVSF) is cutting the ribbon on its eight store in Pennsylvania. read more

IntelGenx And Heritage Cannabis Holdings Partner To Produce CBD Filmstrip Products

IntelGenx Corp. (TSXV: IGX) (OTCQB: IGXT) has partnered with Canadian medical cannabis producer Heritage Cannabis Holdings Corp. to produce filmstrip products containing CBD. read more