Aurora Cannabis to buy CanniMed for $1.1 bln: Reuters
Canada’s second-biggest marijuana producer Aurora Cannabis Inc has agreed to buy smaller rival CanniMed Therapeutics Inc for $1.1 billion creating the world’s largest weed producer by market value, Reuters reported. The agreement follows months of tensions between the companies as Aurora made a hostile bid of $24 per share for CanniMed, which itself was engaged in a friendly deal to buy Newstrike Resources Ltd. The agreement tops a deal-making frenzy among cannabis companies as they jostle for prime position ahead of Canada’s legalization of recreational use of marijuana by mid-2018, making it only the second country in the world to do so. Both Aurora and CanniMed have in recent years secured financing from Canadian and U.S. private equity and venture capital investors.
