Organigram Holdings Inc. (TSXV: OGI) has announced this morning that their company’s wholly-owned subsidiary, 10870277 Canada Inc., has acquired 25% of German cannabis company alpha-cannabis® Pharma GmbH (ACG) in exchange for 8,333 common shares of OGI.
The two companies have also entered into a supply agreement under the terms of the acquisition. Organigram Holdings will be providing cannabis flower to ACG and ACG will be providing CBD isolate to OGI.
alpha-cannabis® Pharma GmbH has been in business since 2016 and their company has been focused on the developed, manufacturing, and cultivation of medicinal cannabis for the market in Europe. Their team is comprised of specialists from the pharmaceutical industry which gives their team the ability to produce cannabis derived compounds effectively on a large scale.
This transaction gives Organigram partners to work with in Germany as well as a steady supply of isolate CBD for their own product manufacturing in Canada. OGI owns an extensive portfolio of cannabis brands including The Edison Cannabis Company, Ankr Organics, Trailblazer and Trailer Park Buds.
Greg Engel, CEO at Organigram gave this statement in the press release:
“As we continue to build the framework of our international medical business, finding the right partners in the right markets has been a priority for our company. This relationship is a perfect example of two companies coming together towards a common goal, and we’re very excited to build our business in Germany through our partners at alpha-cannabis® Pharma GmbH.”