A major vegetable grower in Canada has teamed with one of the nation’s federally licensed medical marijuana cultivators to produce greenhouse-grown cannabis, marking the latest mainstream company to enter the MJ business.
Village Farms – a publicly traded grower of tomatoes, bell peppers and cucumbers with greenhouses in Canada and Texas – said in a news release it will partner with British Columbia-based Emerald Health Therapeutics to produce medical and, ultimately, recreational cannabis – provided Canada implements planned adult-use legislation.
Emerald, for its part, initially will contribute 20 million Canadian dollars ($14.8 million) to fund conversion of the first greenhouse.
Each partner will have a 50% stake in the joint venture.
Under the agreement, the partnership’s production capacity could be increased to 4.8 million square feet, with the ability to produce more than 300,000 kilograms (661,386 pounds) of product annually.
Production will include dried cannabis and extraction-based products.
Village Farms trades on the Toronto Stock Exchange (TSX) under the ticker symbol VFF. Emerald Health Therapeutics trades as EMH on the TSX Venture Exchange.