Two Canadian cannabis companies are merging to create Zenabis, which will be one of the world’s largest cannabis producers, according to a joint press release issued by Sun Pharm Investments Ltd. and Bevo Agro Inc.
The final corporate entity will boast 3.5 million square feet of cannabis production space, including 660,000 square feet of indoor space and 2.8 million square feet of greenhouse space across British Columbia, New Brunswick, and Nova Scotia. It will be enough to produce cannabis for both domestic and international markets with ease, executives predict.
“Our primary goal with this merger is to expand Zenabis’ capacity to supply high-quality cannabis for worldwide distribution. We will achieve this by taking advantage of Bevo’s greenhouse growing expertise to cultivate high-quality cannabis. This is a unique partnership that gives Zenabis a significant advantage among Canadian producers as we continue to grow our business to meet Canadian and international demand.” — Rick Brar, Chief Executive Officer for Zenabis, in the release
Under the agreement, Sun Pharm will be amalgamated into Bevo via a reverse takeover; Bevo, however, will change its name to Zenabis, adopting and expanding upon a popular brand already established under the Sun Pharm portfolio.
Shareholders in Bevo and Sun Pharm will receive adjusted stock in the newly named Zenabis.