Red Light Holland Corp. TRUFF has signed a purchase and sales agreement to acquire 100 acres of farmland in Peterborough, Ontario. The transaction, which amounts to around CA$1.85 million ($1.47 million), is expected to close in June 2022.
Acadian Exotic Mushrooms Ltd. (AEM), a gourmet mushroom production facility of which Red Light owns a majority, is expected to work on the acquired parcel and develop two mushroom production facilities to be called AEM Ontario. AEM is co-owned by Holburne Mushroom Farm and Mike and Fernando Medeiros, also co-owners of Carleton Mushroom Farms.
The company produces its psychedelic mushrooms Red Light's truffle farm in Horst, The Netherlands, but it also manages the Happy Caps Gourmet Mushroom Farm in Halifax, Nova Scotia and the AEM Farms in New Brunswick, Ontario.
With this acquisition, Red Light is growing its farms division to produce non-psychedelic edible mushrooms, but with a view to developing the psychedelics sector.
Todd Shapiro, CEO and director of Red Light, explained: “By purchasing 100 acres of farmland, we are continuing with our incredible plan of setting up a strategic foundation focused on increasing revenues and profit, which plans on being the 'mushroom train' for psychedelic R&D, legal, regulations, advocacy, education, and product development as we advance in the psychedelic sector cautiously and carefully.”
Although not specifically related to psychedelic mushrooms, the operation is expected to bring forth the means to support psychedelic-related developments. “We anticipate adding additional revenue generation facilities, which could be converted to support Canadian psychedelic operations, if and when regulations permit - all with the focus on enhancing shareholder value. We look forward to updating the market when AEM Ontario commences operations and in the meantime, we are pleased to add a strong asset on the books - farmland,” Shapiro added.
Mike Medeiros, co-owner of Carleton Mushroom Farms and president of Mushrooms Canada, commented: “Our expertise and knowledge of the mushroom industry coupled with Red Light's psychedelic, psilocybin, branding and marketing knowledge, is a great fit and we look forward to growing strategically together.”
Photo courtesy of Wikimedia Commons
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Missed the first wave of cannabis investments? Don’t make that mistake again.
Experts believe cannabis stocks have found their floor and are now poised for unprecedented growth.
Join Benzinga PotProfits. Our in-house canna stock expert, Michael Berger, is on a mission to uncover the most promising cannabis stocks poised for growth, even in a dull market. He leaves no bud unturned to bring you the juiciest potential double-digit opportunities!
Just this year, the PotProfits portfolio has seen smoking-hot gains like:
- 47.10% with $GTBIF
- 40.23% with $TCNNF
- 21.50% with $VFF