On November 6, 2018, Heritage Cannabis Holdings Corporation (“Heritage”) (CSE: CANN) acquired CannaCure Corporation (“CannaCure”). In accordance with the terms of their October 18, 2018 Definitive Agreement, Heritage has acquired all of the outstanding shares of CannaCure in exchange for 133,333,326 Heritage shares having an agreed value of $40 million. CannaCure shareholders now represent 39.5% of the issued and outstanding shares of Heritage. This transaction does not represent a Change of Control of Heritage.
Based in Fort Erie, Ontario, CannaCure is a licensed producer under the ACMPR (Access to Cannabis for Medical Purposes Regulations). It holds rights to a 122,000 square foot processing facility and has completed a 24,260 square foot phase one build out of that facility. It also has an option to acquire an operational greenhouse with a footprint of 3.4 million square feet in the Leamington, Ontario area.
Miller Thomson advised CannaCure with respect to this transaction with a team that included Robert Stewart, Alex Lalka, Victoria de Luna and Kelsey MacKay (M&A/Corporate, Capital Markets & Securities).