Cannim Group has completed its all-scrip merger with privately owned Canadian cultivator Medisun and will now launch a 25% THC Canadian flower product in Australia as part of its Lumir range.
Cannim chair John Worton said the new offering marked the beginning for the merged entity. “Medisun are a top producer in Canada, recognised for their quality and distributed in this key legal-use market,” he said.”
“Through our partnership, Cannim will offer those products for the benefit of patients here in Australia and Europe through our global sales network, while at the same time opening up distribution channels for our own products in the US and Canada.”
Cannim chief commercial officer Stuart Marsh said the merger recognised the importance of partnerships in a rapidly evolving sector, and noted commercial interest in the business had increased dramatically since the deal was announced.
He added: “We’re experiencing an entourage effect, with other companies wanting to come on board and partner with the combined business.
“We’ve already signed a number of contracts to import Canadian flower into Europe, and we’re excited by the further potential to cross-sell our respective products into our newly expanded distribution channels.”
Under the arrangement, Cannim will acquire more than 70% of all issued and outstanding shares of Medisun.
The merged business will be headquartered in Sydney, while Medisun will continue to operate under its own brand name from Ontario.