High Tide said it is entering the German medical cannabis market by signing a definitive agreement to acquire 51% of Remexian Pharma GmbH for an estimated purchase price of €27.2 million (approximately $31.7 million).
It will have an option to acquire the remaining interest in Remexian.
Founded in 2018 and headquartered just outside of Berlin, Germany, Remexian is a pharmaceutical company built for the purpose of importation and wholesale of medical cannabis, and has a fully certified EU GDP warehouse. Remexian is currently licensed to import into Germany from 19 countries, including Canada which represents approximately 33% of their total imports into Germany. Given its over $1.9 billion in Canadian cannabis sales since legalization, High Tide has the Canadian procurement expertise and relationships to leverage this transaction to significantly increase the Canadian share of medical cannabis imports into Germany.
"Remexian is an ideal match for us—not only in its commitment to discount pricing, but also in its operational approach, which mirrors our lowest price guarantee in Canada. We took our time evaluating potential partners and couldn't be more excited to join forces with the best-in-class team that built Remexian into a national leader. Together, our complementary strengths and deep procurement expertise will create a stronger foundation for growth and further enhance the fundamentals of this business," said Raj Grover, founder and Chief Executive Officer of High Tide, in a statement.
