Tweed Farms – a subsidiary of Canopy Growth Corp. and the largest licensed cannabis producer in Canada – is poised to get even bigger after purchasing land near its current site at Niagara-on-the-Lake, Ontario, and beginning construction on existing properties.
Once completed, the construction will bring Tweed’s total greenhouse space to more than 1 million square feet and triple its overall production space, the company said in a news release.
The land cost Canopy 9 million Canadian dollars ($7.4 million) – CA$6 million in cash and CA$3 million in equity – according to the release. The 111,366 common shares issued at closing are subject to a four-month lockup.
The parcel includes an operational 458,000-square-foot greenhouse.
Tweed has also started building a new 212,000-square-foot greenhouse at its Niagara-on-the-Lake site, and construction is expected to be completed by April.
Canopy has also renovated 10,000 square feet of drying space and upgraded a laboratory, according to the release.
The expansion is part of Canopy’s aggressive growth strategy, which also includes new sites in other Canadian provinces.
Canopy, based in Smiths Fall, Ontario, trades as WEED on the Toronto Stock Exchange.