Canopy Growth (TSXV:CGC), parent company of Tweed, is expanding into Australia via a partnership with AusCann Holdings.
As quoted in the press release:
Through this partnership, Canopy Growth will offer its expertise in a number of areas including production, quality assurance and operations, and provide strategic advisory services to AusCann in exchange for an initial 15% ownership stake in the company, as well as further options. AusCann and Canopy Growth will also aim to work together in Australian and international markets in a preferential but nonexclusive arrangement.
Canopy Growth Chairman and CEO Bruce Linton said:
I’m very pleased to enter into this new international relationship, the first of its kind for a Canadian cannabis company. As the Australian government begins to lay out a framework for legal medical cannabis, AusCann has the same opportunities and challenges that Tweed and its sister companies faced several years ago. We have confidence that the Australian medical cannabis market will grow similarly to Canada and we think the lessons we learned in our early days will prove invaluable to the team at AusCann.