Supporting the Growth and Expansion of
Anandia's Independent Cannabis Testing Capabilities
TSX | NYSE: ACB
EDMONTON, April 25, 2019
/CNW/ - Aurora Cannabis Inc. ("Aurora" or the "Company") (NYSE:
ACB) (TSX: ACB) (Frankfurt: 21P;
WKN: A1C4WM) announced today that the company has signed a binding
share purchase agreement whereby Aurora has acquired all of the
issued and outstanding common shares of privately-held Chemi
Pharmaceutical Inc, ("Chemi"), an Ontario-based laboratory specialized in
providing high quality analytics services to the pharmaceutical and
cannabis industries, in a cash and share transaction (the
"Transaction") comprised of an undisclosed cash payment and share
consideration of 83,299 shares paid on closing and 41,649 payable
upon achievement of certain Chemi milestones.
Strategic Rationale
Chemi has a Health Canada Drug Establishment Licence enabling
them to perform certified GMP compliant quality control analytical
testing. In addition, Chemi has received US FDA accreditation for
their facility, which is the gold standard for global
pharmaceutical testing. Acquiring Chemi with their Drug
Establishment Licence provides a critical prerequisite for applying
for a Cannabis Drug Licence, which is required for the development
of cannabis therapies within the global medical cannabis
market.
Strategically located adjacent to Pearson Airport in
Mississauga, Ontario, Chemi
provides specialized cannabis testing across a broad set of
parameters, including cannabinoid and terpene content. Chemi will
be integrated into the Company's wholly owned subsidiary, Anandia
Laboratories Inc. ("Anandia"), expanding Anandia's leading
analytics capabilities to meet client demand and diversifying its
specialized testing services for both the medical and the upcoming
edible and derivatives markets.
Following the acquisition of Anandia in August 2018, Aurora integrated Anandia's plant
science operations into the Company's broader science team,
enabling Anandia to maintain independence as an analytical service
provider, with its operations run at arm's length to ensure client
confidentiality.
As the Canadian cannabis industry matures, the cultivation and
processing operations of licensed producers, including Aurora, have
developed rapidly to meet the growing demand from medical patients
and consumers alike. Expanding Anandia's analytical testing
footprint will enable it to service a broader base of domestic and
international clients while ensuring continued timelines and
quality of its testing services for existing clients.
Management Commentary
"The acquisition of Chemi will enable Anandia to extend our
best-in-class testing services to a broader group of licensed
producers and scale alongside our current client base while
providing the scientific capabilities to establish an early mover
advantage in the upcoming cannabis edibles testing market," said
John Coleman, President of Anandia.
"We look forward to integrating the Chemi team into our operations
and working together to deliver the greatest scientific integrity
to our clients."
Mariana Stavrikov, General Manager of Chemi, added, "Chemi has
been servicing the pharmaceutical, natural health product, cosmetic
and veterinary industries for the last 20 years. As a trusted
partner to a number of licensed producers, we are thrilled to join
the Anandia team and expand our infrastructure and support to
accommodate the incredible opportunity ahead in the cannabis
industry."
Terms of the Transaction
Aurora has purchased 100% of the issued and outstanding shares
of Chemi for a combination of cash and common shares of Aurora.
About Aurora
Headquartered in Edmonton, Alberta,
Canada with funded capacity in excess of 625,000 kg per
annum and sales and operations in 24 countries across five
continents, Aurora is one of the world's largest and leading
cannabis companies. Aurora is vertically integrated and
horizontally diversified across every key segment of the value
chain, from facility engineering and design to cannabis breeding
and genetics research, cannabis and hemp production, derivatives,
high value-add product development, home cultivation, wholesale and
retail distribution.
Highly differentiated from its peers, Aurora has established a
uniquely advanced, consistent and efficient production strategy,
based on purpose-built facilities that integrate leading-edge
technologies across all processes, defined by extensive automation
and customization, resulting in the massive scale production of
high-quality product at low cost. Intended to be replicable and
scalable globally, our production facilities are designed to
produce cannabis of significant scale, with high quality,
industry-leading yields, and low per gram production costs. Each of
Aurora's facilities is built to meet EU GMP standards, and its
first production facility, the recently acquired MedReleaf Markham
facility, and its wholly owned European medical cannabis
distributor Aurora Deutschland have achieved this level of
certification.
In addition to the Company's rapid organic growth and strong
execution on strategic M&A, which to date includes 15 wholly
owned subsidiary companies – MedReleaf, CanvasRX, Peloton
Pharmaceutical, Aurora Deutschland, H2 Biopharma, Urban Cultivator,
BC Northern Lights, Larssen Greenhouses, CanniMed Therapeutics,
Anandia, HotHouse Consulting, MED Colombia, Agropro, Borela, and
ICC Labs – Aurora is distinguished by its reputation as a partner
and employer of choice in the global cannabis sector, having
invested in and established strategic partnerships with a range of
leading innovators, including: Radient Technologies Inc. (TSXV:
RTI), Hempco Food and Fiber Inc. (TSXV: HEMP), Cann Group Ltd.
(ASX: CAN), Micron Waste Technologies Inc. (CSE: MWM), Choom
Holdings Inc. (CSE: CHOO), Capcium Inc. (private), Evio Beauty
Group (private), Wagner Dimas (private), CTT Pharmaceuticals (OTCC:
CTTH), Alcanna Inc. (TSX: CLIQ) and High Tide Inc. (CSE: HITI).
Aurora's Common Shares trade on the TSX and NYSE under the
symbol "ACB", and are a constituent of the S&P/TSX Composite
Index.
For more information about Aurora, please visit our investor
website, investor.auroramj.com
Neither the TSX, NYSE nor their Regulation Services Provider
(as that term is defined in the policies of the TSX and NYSE)
accepts responsibility for the adequacy or accuracy of this
release.
Terry Booth, CEO
Aurora Cannabis Inc.
Forward-Looking Statements
This news release includes statements containing certain
"forward-looking information" within the meaning of applicable
securities law ("forward-looking statements"). Forward-looking
statements are frequently characterized by words such as "plan",
"continue", "expect", "project", "intend", "believe", "anticipate",
"estimate", "may", "will", "potential", "proposed" and other
similar words, or statements that certain events or conditions
"may" or "will" occur. Forward looking statements made in this
release include: (i) statements regarding expanding Anandia's
capacity, (ii) establishing an early mover advantage in the
upcoming cannabis edibles market; (iii) statements regarding the
rapid growth of cannabis testing markets. These statements are only
predictions. Various assumptions were used in drawing the
conclusions or making the projections contained in the
forward-looking statements throughout this news release. Certain of
the assumptions relied upon include that the infrastructure at
Chemi will be expanded. Forward-looking statements are based on the
opinions and estimates of management at the date the statements are
made, and are subject to a variety of risks and uncertainties and
other factors that could cause actual events or results to differ
materially from those projected in the forward-looking statements.
The Company is under no obligation, and expressly disclaims any
intention or obligation, to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, except as required by applicable law.
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SOURCE Aurora Cannabis Inc.