MediPharm to sell BC cannabis facility to Rubicon for $4.5M

Canadian cannabis company MediPharm Labs Corp.plans to sell its facility in Hope, British Columbia, to Rubicon Organics for $4.5 million in cash.

The transaction, expected to close in the second quarter, includes a building, land and some equipment, according to a Monday news release. ADVERTISEMENT The deal comes on the heels of MediPharm terminating a $5.5 million sale of its ABcann Medicinals subsidiary in February because the buyer, Ontario-based Kensana Health, did not meet some of the terms and conditions within the specified timeline.

As for the Hope facility, MediPharm said in the release that it ceased operations there last year to focus on its acquisition of Vivo Cannabis, an Ontario-based marijuana producer.The buyer, Vancouver, British Columbia-based Rubicon Organics, is a producer of organic cannabis.

The British Columbia facility sale allows MediPharm to monetize its noncore assets to invest in its growth, the release noted.“Securing $4.5 million through the divestment of non-core assets in this transaction will further reinforce MediPharm’s ability to capitalize on strategic M&A synergies, streamline operations and maximize value for both shareholders and valued partners,” CEO David Pidduck said in a statement.

ADVERTISEMENT “The sale of the Hope facility strengthens not only our cash positions but also our 2025 focus – investing in our international and medical growth strategies as a global leader in pharmaceutical cannabinoid solutions.” MediPharm’s shares trade as LABS on the Toronto Stock Exchange....