Recommended content

Red White & Bloom to acquire distressed Canadian cannabis operator Aleafia

Marijuana multistate operator Red White & Bloom Brands plans to acquire financially troubled Canadian cannabis operator Aleafia Health in a share-exchange agreement.

The proposed deal comes less than two weeks after Aleafia announced it had launched a strategic review after breaching the terms of a secured loan.


That loan has been assigned to Toronto-based Red White & Bloom (RWB), according to a Wednesday news release.

RWB will provide a $17.5 million credit facility to Aleafia as part of the deal and plans to sign a $30 million credit facility of its own.

Under the proposed share-exchange agreement, each Aleafia common share will be swapped for 0.35 RWB shares, giving Red White & Bloom shareholders roughly 76% of the combined company.

“The potential acquisition of Aleafia … provides a well-established distribution beachhead for RWB and its premium Platinum brand into the Canadian market, opens up the

Read full article on Marijuana Business Daily

Follow us on Instagram or join us on facebook page

Be first to rate

Marijuana Business Daily

More news