Aurora Cannabis buys controlling stake in Bevo Agtech
EDMONTON - Aurora Cannabis Inc. has signed a deal to buy a controlling interest in Bevo Agtech Inc., a supplier of vegetable seedlings and flowers.
Under the deal, the cannabis company will acquire a 50.1 per cent stake in Bevo for $45 million plus up to an additional $12 million that is conditional on Bevo achieving certain financial milestones at its Site One facility in Langley, B.C.
Bevo has also agreed to acquire the company's Aurora Sky facility in Edmonton.
In connection with the Aurora Sky transaction, Bevo will pay up to $25 million based on the achievement of certain financial milestones.
Aurora chief executive Miguel Martin says the investment and collaboration will drive significant shareholder value and synergies for both companies.
Aurora announced plans earlier this year to close its Aurora Sky facility as part of changes at the company.
This report by The Canadian Press was first published Aug. 25, 2022.
Companies in this story: (TSX:ACB)
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