Canopy Growth (WEED.TO) (TWMJF) announced the acquisition of Spot Therapeutics, an ACMPR applicant based in Fredericton, New Brunswick. Additionally, through an affiliated entity, the company has entered a definitive agreement to complete the previously announced purchase of the industrial building and property where its production and distribution platform is being established. These strategic acquisitions solidify Canopy Growth’s commitment to expand operations into New Brunswick with a large-scale indoor production facility both quickly, and cost efficiently.
Under the terms of the transaction, shareholders of Spot will receive up to $2,250,000 in total consideration, less adjustments for all liabilities of Spot as of the closing date and certain payments to be made by Spot between closing and the second tranche payment. At closing, and in satisfaction of the first tranche payment of $1,000,000, Canopy issued 111,669 common shares to Spot. The second tranche payment will be satisfied by the issuance of additional common shares, subject to completion of certain licensing and operational milestones. Closing of the acquisition of the industrial building and property is expected in early September.
