Gearing up for the expected nationwide legalization of edible cannabis products this coming October, a recent Tilray, Inc. (NASDAQ: TLRY) acquisition was just granted a standard processing license from Health Canada
Natura Naturals Inc – a subsidiary of Tilray’s High Park Holdings Ltd – is now approved to cultivate and prepare edible cannabis, pre-rolled products, oils, and even topical lotions.
Tilray snapped up Natura Naturals last month in a $70 million cash and stock deal, which saw the company gain access to 155,000 sq. ft. of additional grow space in a Leamington, Ontario facility.
In addition to that amount of space specifically licensed for growing cannabis, the Natura greenhouse features a total of 6662,000 sq. ft. of operational capacity. The combined total space will eventually be utilized to convert raw material from other Tilray facilities into edibles and product types such as concentrates and tinctures.
With many licensed producers reporting losses each quarter since Canadian legalization, diversifying beyond just offering standard dried flower product has become a critical business plan to lure customers away from black market sources.
Tilray’s Executive Vice President of Operations Greg Christopher commented on the licensing news and its future impact on the company:
Christopher was recruited by Tilray at the beginning of the year after serving as Senior Vice President of Supply Chain Operations for Nestle Canada. He was brought on during a batch of senior management hires as the company expands that also included the addition of a new Human Resources EVP, general counsel, and Vice President of Retail.
Aside from those four hires back in January, earlier this month Tilray also tapped former Goldman Sachs exec Andrew Poucher to fill the role of Chief Corporate Development Officer.
That batch of upper management recruits has already overseen a variety of acquisitions and investments – from a hemp food company to cannabis cultivators like Natura Naturals – with more deals expected to be announced in the coming months.