Kanabo Group Plc (LSE:KNB), a medical cannabis and R&D Company that focuses on the distribution of cannabis-derived products for medical patients and wellness CBD consumers, notes that Materia’s wholly-owned subsidiary Materia Malta Operating Ltd. (“Materia Malta“) has commenced sales in Europe of the first medical cannabis flower produced at its EU GMP certified manufacturing site.
The inaugural product, named “Carbasi Verde”, was released with a potency of 21.7% THC following successful completion of Materia Malta’s first production cycle, which includes hand trimming to ensure the best quality for patients.
Carbasi Verde is now available at pharmacies across Malta, with subsequent shipments planned for Germany and the UK. The product has already been registered on the narcotics licence of Materia Deutschland GmbH ahead of its import into Germany.
As per the announcement on 4 November 2021, Kanabo Group Plc has finished the majority of its due diligence work as part of the proposed acquisition of the European businesses of 11157353 Canada Corp. (the “Proposed Transaction”), which trades under the name of Materia (“Materia”).
Kanabo and Materia have therefore signed a revised term sheet which includes binding elements (“Head of Terms”), and the parties consider this to be an important step towards completion of the Proposed Transaction. As previously announced, the Proposed Transaction contemplates the full acquisition of Materia’s European business, including its Maltese EU GMP certified facility, German medical cannabis wholesaler and UK CBD e-commerce platform. The Proposed Transaction is still subject inter alia to the agreement of formal documentation and conditional on, among other things, the receipt of all necessary regulatory consents.
“This journey began in earnest over two years ago, so we’re elated to be offering patients Materia manufactured and branded medical cannabis,” said Nick Pateras, Managing Director, Europe, of Materia. “Our Maltese site is truly state-of-the-art, and with our team’s deep pharmaceuticals expertise we’re confident that Materia Malta will become one of the most important production facilities in Europe’s cannabis supply chain.”
Avihu Tamir, CEO of Kanabo Group Plc said; “Materia’s pace of progress remains remarkable. Subject to completion of the merger, the facility in Malta will enable Kanabo’s enlarged group to broaden its distribution across Europe and solidify our plan for a complete supply and distribution line.”