Emerald Health Therapeutics signed a deal to raise 15 million Canadian dollars ($12 million) – funds the British Columbia-based licensed producer plans to put toward production and growth plans.
Under the agreement, a single Canadian institutional accredited investor agreed to purchase 3 million shares of the publicly traded company for CA$5 each.
The deal is expected to close around Jan. 10. The identity of the investor was not disclosed.
Emerald has raised CA$80 million in the past 12 months.
Avtar Dhillon, executive chairman, said the capital supports the company’s expansion plans and product development.
“Once infrastructure is built, the focus of the industry in Canada will be on the product innovators. We rarely think about the tomatoes in ketchup, or the infrastructure to build a Tesla or iPhone, but enjoy the end product.”
Emerald is retrofitting 1.1 million square feet of existing fully operational greenhouse space.
Dhillon said the retrofit is anticipated to yield 75,000 kilograms of cannabis annually after it’s complete by the end of 2019, “unless we accelerate the build-out further – something we’re considering.”
Emerald Health Therapeutics is traded on the TSX Venture Exchange under the symbol EMH.
Matt Lamers can be reached at firstname.lastname@example.org
To sign up for our weekly Canada marijuana business newsletter, click here.