The deal will close in the next 60 days following the terms of the property purchase option agreement.
As a result, the company will acquire the 122,000 square foot facility for the option price of $2.2 million, funded from the proceeds on hand. CannaCure has already transformed nearly 24,000 square feet of licensed space within the facility, with the additional 98,000 square feet ready for Phase 2 extraction and Phase 3 contract manufacturing expansion.
The additional space will be outfitted for the company's planned push into edibles, infusions, vaping products, tincture bottling and development of medical formulated products.
"Purchasing the Fort Erie building is important to the stability and the long-term future of our operations," said Heritage Cannabis Holdings CEO Clint Sharples. "The recent completion of our bought deal financing allows us to acquire this property and accelerate the strategy of preparing our company for the new cannabis regulations expected this October."
Based in Toronto, Heritage currently has four businesses under its umbrella that run the gamut from extraction to production.
Heritage’s subsidiaries Voyage Cannabis Corp and CannaCure Corp are both Health Canada-approved licensed cannabis producers, while Purafarma Solutions provides extraction services and BriteLife Sciences focuses on the medical market.
Contact Uttara Choudhury at [email protected]