- IM Cannabis (IMCC) is acquiring Vancouver-based MYM Nutraceuticals
- The deal includes MYM’s licensed producer subsidiary, Highland Grow
- The transaction is expected to be completed before the end of the second half of 2021
- IMC will continue to operate under the IM Cannabis Corp. name
- IM Cannabis is up 2.14 per cent on the day, with shares trading at C$9.05 at 1:13 pm ET
IM Cannabis (IMCC) is acquiring Vancouver-based MYM Nutraceuticals.
The deal includes MYM’s licensed producer subsidiary, Highland Grow.
The transaction remains subject to approval but is expected to be completed before the end of the second half of 2021.
IMC will continue to operate under IM Cannabis Corp.
Highland Grow is expected to generate net revenue of C$29 million and C$38 million and gross margins of 34 per cent to 36 per cent in 2021 and 2022, respectively.
MYM shareholders will receive 0.022 IMC shares for each MYM share, representing a price of $0.195 based on respective closing prices on March 31, 2021.
“Acquiring MYM is consistent with IMC’s focus on premium and super-premium segments of the cannabis market for consumers and patients in all markets. The transaction also demonstrates our disciplined approach to acquiring accretive companies that create financial and operational synergies and result in additional opportunities to export premium cannabis products to Israel and Germany. With coast-to-coast distribution, including a strong leadership position in Eastern Canada, Highland Grow will further enhance our distribution capabilities and fast-track our entrance into new markets,” said IMC CEO Oren Shuster.
MYM is a Canadian cultivator, processor, and distributor of premium cannabis via its two wholly owned subsidiaries.
IM Cannabis is up 2.14 per cent on the day, with shares trading at C$9.05 at 1:13 pm ET.