Village Farms International has acquired the remaining equity in Netherlands-based cannabis producer Leli Holland B.V.
The Vancouver, British Columbia-headquartered company initially agreed in 2021 to acquire an 80% stake in Leli Holland.
At the time, the option cost 50,000 euros ($58,400) and was exercisable at the sole discretion of Village Farms.
Leli Holland is among 10 licensed cannabis producers in the Netherlands’ pilot program, according to a Tuesday news release.
Village Farms President and CEO Michael DeGiglio said the Dutch market is one of the most attractive limited-license cannabis markets in the world.
“After decades of tolerating the unintended consequences of a backdoor decriminalization policy, the new Dutch program represents an historic evolution of regulations that make it the first major European country to permit legal recreational cannabis operations,” Degiglio said in a statement.
“We have been very impressed by the Dutch government’s thoughtful implementation of this program and applaud them for an excellent job done to help ensure a successful launch.”
Village Farms also completed its indoor cultivation facility in Drachten, Netherlands, according to the release.
The Drachten facility has five flower rooms as well as space for drying, manufacturing and packaging finished goods to about 80 Dutch coffee shops in participating jurisdictions.
Cultivation is expected to begin in October, the release notes, with the first sales likely to occur in the first quarter of 2025.
Shares of Village Farms trade as VFF on the Nasdaq.
The company regained compliance with the stock exchange’s listing rules in April.
