Canopy Growth To Acquire Beckley Canopy Therapeutics
Canadian cannabis company Canopy Growth Corp. (CGC, WEED.TO) said it has agreed to acquire cannabinoid-based medical research firm Beckley Canopy Therapeutics. Financial terms of the deal were not disclosed.
Beckley Canopy was formed as a joint venture in January 2018 between Beckley Research & Innovations or BRI and Canopy Growth to develop clinically validated cannabis-based medicines.
The acquisition will enable Canopy Growth and Beckley Canopy to combine their research programs and clinical work under a single strategic plan. Beckley Canopy’s research arm, in turn, directly supports the commercial efforts of Spectrum Therapeutics around the world.
As part of the acquisition, Canopy Growth has also acquired the outstanding shares in Spectrum Biomedical UK, Canopy’s commercial arm in the United Kingdom, as that market begins to develop into a “commercially viable opportunity”.
Spectrum Therapeutics will leverage Beckley Canopy’s intellectual property and accelerate its research programs in order to improve patient access to cannabinoid-based medicines globally.
“The acquisition of Beckley Canopy will allow Spectrum Therapeutics to continue expanding its medical cannabis leadership around the world, strengthening our foothold in the UK and more broadly across Europe – a region that wants to see stronger clinical evidence around cannabis-based medicines,” said Mark Zekulin, CEO of Canopy Growth.
Canopy Growth expects the acquisition to close within the next 60 days. On closing, Beckley Canopy will be fully integrated into the current Spectrum Therapeutics platform and management team in Europe.
Canopy Growth also said it has signed an agreement with Greenlane Holdings Inc., which gives Greenlane exclusive distribution rights of Storz & Bickel vaporizers throughout the U.S.
Storz & Bickel, a Germany-based subsidiary of Canopy Growth, has a 22-year history in designing vaporizers. The company introduced the Volcano product line in 2000, and also launched portable handhelds, including the Crafty and Mighty devices.
Greenlane has been Storz & Bickel’s exclusive U.S. distribution partner since January 2018. The new agreement will allow for Greenlane’s robust growth in the American market along with continued distribution to the Canadian market.
Greenlane’s distribution network within North America includes over 11,000 retail locations spanning smoke and vape shops as well as licensed cannabis dispensaries.
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