Another Canadian cannabis firm is making its voice heard, across the ocean at that. Thursday brought news that Vancouver-headquartered Auxly Cannabis Group Inc. (TSX-Venture:XLY) has forged a partnership with British-based Imperial Brands PLC.
Imperial says it will invest approximately $123 million in Auxly by way of a convertible debenture – at a conversion price of 81 cents a share -- and in so doing, will grant Auxly global licences to Imperial Brands’ vaping technology and access to its vapor innovation business, Nerudia.
With Thursday’s announcement, Auxly is to become Imperial Brands’ exclusive partner for cannabis-related initiatives
Auxly President Hugo Alvas exulted, "This investment from Imperial Brands will enhance Auxly’s ability to continue to deliver on our business plans and accelerate our growth initiatives to expand our portfolio of branded derivative products.
"The timing is ideal as we prepare to bring our portfolio of innovative cannabis products to the Canadian market following the legalization of edibles, extracts and topicals later this year."
Shares in XLY sprang to life 14 cents, or 19.2%, to 87 cents, on volume of 6.6 million.
