Tilray acquires Natura Naturals Holdings for $52mn

By nat blo

Medical and recreational cannabis research, cultivation, production and distribution firm Tilray Inc announced this week it has entered into a definitive agreement to acquire will acquire all of the issued and outstanding securities of Natura Naturals Holdings Inc, the parent company of a licensed cultivator of cannabis.

Tilray will deliver US$26.3mn upon completion of the deal, comprised of $11.2 mn in cash and $15mn in Tilray Class 2 common stock. Natura shareholders will receive their pro rata portion of the $11.2mn closing cash amount, following the deduction of transaction expenses and applicable tax. Following the closure of the deal, the remaining $26.3mn may become payable, depending on Natura’s ability to reach certain quarterly production milestones. If those requirements are reached, the final sale will be worth $52mn.

Upon closure of the deal, Tilray will acquire Natura’s 662,000 square-foot greenhouse cultivation facility, of which 155,000 square-feet are currently licensed, and all subsequent cannabis output from this facility.

SEE ALSO: 

Tilray’s revenue increased by 86% year-on-year in 2018, up to $10mn. In Q3 2018, the company sold sold 1,613 kilograms of cannabis.

“We’re very pleased to have an agreement in place that allows us to expand our capacity to supply high-quality branded cannabis products to the Canadian market,” said Brendan Kennedy, Tilray President and CEO. “Through an extensive and thorough search for the right supply partner, we’re pleased to have come to a mutually-beneficial agreement with Natura.”

The transaction is expected to close in the next 30 days.

 

Share

Featured Articles

Top 10 cybersecurity specialists in the US

As cyber attacks grow in frequency and become increasingly sophisticated, Business Chief looks at the top 10 cybersecurity specialists in the US.

Silicon Valley Bank collapse: How did we get here?

US authorities have stepped in to protect all Silicon Valley Bank customers following the second-largest bank failure in the country's history

Top 10 best new leadership books by women to read in 2023

To mark IWD, here’s our pick of the best new leadership books – all penned by impressive women at the forefront of the ever-evolving world of work

Eight of the best business leadership podcasts

Leadership & Strategy

CEO John Pagano, leading Saudi Arabia's Red Sea Global

Leadership & Strategy

Top 10 female CEOs according to Fortune’s Global 500 list

Leadership & Strategy