Another day, another near-billion-dollar deal in Canada’s marijuana industry.
Aphria Inc. agreed to buy Nuuvera Inc., a global cannabis company based in Brampton, Ontario, for about C$826 million ($670 million) in cash and stock. The offer of about C$8.50 a share is 21 percent higher than Nuuvera’s closing price on Friday.
The deal is part of a growing wave of consolidation in Canada’s marijuana industry as companies seek to gain market share before sales become legal at some point this year. While the combined Canadian market for medical and recreational market is expected to reach about C$8 billion in sales by 2021, companies such as Aphria and Nuuvera are looking to grow in markets where there’s even bigger potential.
