Australian Cannabis Producer Little Green Pharma Buys Canopy Growth's Denmark Facility For CA$20M

Australian cannabis company Little Green Pharma Ltd (ASX: LGP) has purchased Canopy Growth Corporation’s (TSX: WEED) (NASDAQ: CGC) Denmark-based GMP medicinal cannabis cultivation and manufacturing facility for CA$20 million ($16.1 million).

The Perth, Australia-based company disclosed Tuesday it had acquired a facility from the Canadian cannabis giant, located in Northern Odense, that can produce over 12 tons of finished flower annually.

The facility, which includes 21,500 m2 cultivation and 4,000 m2 GMP manufacturing space, also provides LGP with product supply from its inventory currently consisting of roughly one ton of medicinal cannabis flower products.

LGP plans to expand the facility’s service offering to include a sales and marketing division. It also intends to empower the facility, which previously operated as a production site, to take its share of EU and global markets.

“The acquisition accelerates our ability to provide medicinal cannabis to Danish, Australian, and other patients across Europe,” said Fleta Solomon, managing director at LGP.

The acquisition will position LGP as one of the leading Australian medicinal cannabis producers, being the owner of one of the largest and highest-quality cannabis production facilities in Europe. In addition, it will result in no job losses as current facility team members will keep their employment.

“We have been particularly impressed with the levels of expertise, professionalism, and engagement from all Danish facility staff throughout the acquisition process and look forward to meeting the rest over the coming weeks,” Solomon added.

Photo by Ryan Lange on Unsplash