Halo Labs Inc. (OTCMKTS:AGEEF) has announced the signing of a Share Purchase Agreement upon which the company will acquire Canmart Ltd.’s all outstanding and issued shares in exchange for around 72.46 million of its common shares.
Canmart is a first mover in the UK Medicinal cannabis market
Canmart is a licensed distributor and importer of cannabis-based medicinal products in the UK. The UK market is a potential market with an estimated 4.7 million cannabis users, which is almost close to the California market, which is the single largest cannabis market globally. Canmart has importation and distribution licenses from the UK home office and Medicines & Healthcare Products Regulatory Agency to distribute cannabis-based products for medicinal use. The company is an early mover in the UK market, which makes it well-positioned in distributing CBPMs in meeting growing demand.
Darran Quinn, the Co-founder and Managing Director of Canmart, said that they are delighted to join the halo family after two successful years in the UK medicinal cannabis market. Quinn said that with Halo’s deep experience and their business acumen, the closing of the transaction will help the company achieve its goals. He said they expect to bring the Bophelo product to the UK and thus create a facilitating gateway for premium African cannabis.
Transaction vital for Halos’s global growth
The transaction is part of Halo’s intended global vertical integration as its subsidiary Bophelo Biosciences & Wellness, will combine with Canmart to create a business combination serving the UK market. With ongoing cultivation operations at Bophelo, Halo plans to leverage premium varieties for DNA genetics and Zkittlez by importing and distributing premium cannabis flowers and oils to the UK.
Halo head of International operations and Co-founder Andreas Met said that the transaction is a big move considering the UK market is expected to grow faster by 2024 and could be the largest medical cannabis market globally. After completion of the transaction, Halo will be positioned to grow in the UK.