Canopy Growth Corporation, a reputed Canada-based medical marijuana firm, has put forth an acquisition bid for Alcaliber SA. This Spanish drug magnate has apparently received bids from numerous other companies apart from Canopy. Firms such as GHO Capital & Alantra Partners have proposed bids for Alcaliber’s assets, currently estimated at nearly USD 246 million.
Experts are of the view that though many bids are in the pipeline, Canopy may emerge as the final contender among the aspirants bidding for acquiring the largest producer of morphine. Incidentally, the share price of the Canadian medical marijuana manufacturer increased by 6.7%, which was highest in the last five weeks.
Reportedly, Canadian firms are seeking to gain a major portion of the marijuana industry share – both regionally and overseas. For the record, Canada market for medical marijuana in terms of sales revenue is set to hit USD 6.21 billion by 2021. In a major development witnessed across the global medical marijuana sector, early in January this year, Aurora Cannabis Incorporation, a pivotal medical marijuana manufacturer & distributor based in Canada, entered a purchase agreement worth CAD 1 billion with CanniMed Therapeutics, Inc.
The latest developments observed across the medical marijuana market have given rise to further speculations that leading companies are rather keen to expand their business operations not only in the regional medical marijuana market, but also across the globe. Amidst this backdrop, say analysts, it comes as no surprise that firms such as Canopy find the need to increase their overall presence in the medical marijuana industry.
Merely last month, Canopy and Aphria Incorporation had signed letters of intent for supplying 12,000 Kgs of medical marijuana yearly. Experts are of the view that by making a bid to purchase Alcaliber SA, the Canadian firm intends to increase its cannabis production business across the world, thereby augmenting its market share across the global medical cannabis industry.