(Smiths Falls) Cannabis producer Canopy Growth has signed an agreement with Indiva for the exclusive rights and interests to manufacture, distribute and sell Wana-branded edibles in Canada.
The companies also signed a contract manufacturing agreement that grants Indiva the exclusive right to manufacture and supply Wana-branded products in Canada for five years, with the possibility of renewal for an additional five years on mutual agreement. OK.
Under the agreement, Canopy Growth will purchase approximately 37.2 million shares of Indiva at a purchase price of 5.79 cents per share, for a total of nearly 2.2 million, giving it a 19.99% stake in Indiva.
The company will also pay Indiva additional consideration worth $844,383 and a cash payment of $1.25 million on May 30, 2024.
Canopy Growth CEO David Klein said the deals give the company more complete ownership of the Wana brand value chain in Canada, while ensuring sustained high-quality manufacturing.
In addition to Wana, Indiva produces cannabis edibles under the Bhang and Pearls by Grön brands, as well as under its own brand.