Australis Capital Inc. (OTCMKTS:AUSAF) has announced the signing of a definitive agreement with ALPS principals to acquire 51% of ALPS’ issued and outstanding shares. Pursuant to the definitive agreement, the company has an option of acquiring the remaining outstanding and issued shares.
Australis acquires 51% stake in ALPS with an option for the remaining 49%
Since its buyout from aurora cannabis in May last year, ALPS has quickly created a blue-chip customer roster globally and has been growing its potential deals pipeline. Currently, ALPS is executing a series of contracts that includes four announced last month. It signed an annual on-going services contract with Aurora cannabis in various locations globally, entered a cannabis facility contact with Cann Group, and entered several undisclosed cannabis contracts in the US, among others.
Once closed, the ALPS transaction will be accretive to Australis results with more material growth expected in the future. Besides generating revenue growth, the transaction will be a critical enabler of Australis’ strategy to secure low-cost, high-quality biomass to boost its brands’ scaling up. Notably, the ALPS transaction and expected Green Therapeutics LLC acquisition signals a pivot for Australis from an investment company to a formidable and highly recognizable MSO.
Following the ALPS Transaction, former Aurora cannabis CEO Terry Booth has been appointed the company’s CEO. Current Interim CEO Duke Fu will take the COO role. Fu said that the completion of the definitive agreement shows that the company is executing rapidly, focusing on enhancing shareholder value.
Australis working kin acquisition of Green Therapeutics
Interestingly the company is drafting definitive agreements for Green Therapeutics as per the applicable US state regulatory requirements. GT has been turning out unique high-end products with three cultivars available under the GT Flower brand testing for exceptional terpene and high potency profiles.
Fu said that producing connoisseur cultivars delivering high-quality terpene and potency profiles is a massive achievement. He said that they are looking forward to GT becoming part of the Australis team.