With the demand for different facets of the cannabis market rushing behind momentum after election cycle, legal marijuana and cannabis based companies including General Cannabis Corp (OTCMKTS:CANN) are gaining by rapid expansion and launch of innovative products/services. Other firms active in the respective sector include Marapharm Ventures Inc. (OTCMKTS:MRPHF), AURORA CANNABIS IN COM NPV(OTCMKTS:ACBFF) and others.
Marapharm has entered into a contract to purchase an industrial facility sited in southern California and three medicinal marijuana licenses for retail, manufacturing and grow application. The land area is 40,510 square feet and the current building acreage is 6,875 square feet, with a clearance for 19-foot-ceiling, for an acquisition price of $3.2 million, depending on $450 per square foot for the edifice and $65 per square foot for the asset.
The yard part is paved and appropriate for greenhouse cultivation. Marapharm said that the purchase is dependent on the closure of satisfactory due diligence, comprising background checks, and necessary documentation for the release of the three licenses to company within 120 days, with the completion to take place after 120 days from the elimination of contingencies.
Linda Sampson, the CEO of Marapharm, reported that they are really excited to get such a prize asset as well as 3 licenses, and to be in this growing market in California. The ‘Yes’ vote in the state is significant for numerous reasons. They have 300,000 square feet of medicinal marijuana licenses, facilities and assets in WA and NV and, nearly two and a half years earlier, the company applied in Canada for a MMPR license, having since approved the necessary security nods. The application is in the in-depth screening procedure. In September, Health Canada approached Marapharm with a provision to modify its application to permit for the new guidelines, known as ACMPR.
In other developments, Terra Tech reported its third quarter 2016 results for the period closing September 30, 2016. The CEO Derek Peterson commented that they are encouraged to see their plan to expand retail presence is driving top line growth.