Maple Leaf Green World (TSX-V: MGW), a eco-agriculture and renewable energy company pursuing opportunities in Canada’s medical cannabis industry, recently announced that it signed an agreement with Woodmere Nursery Ltd. to lease its greenhouse facilities located in Telkwa, British Columbia. The three-year lease also includes a purchase option for the entire 7-acre facility.
The company is pursuing Licensed Producer status under Canada’s new Marihuana for Medical Purposes Regulations (“MMPR”) that went into effect earlier this year.
With the new facility under lease, Maple Leaf plans to apply for an MMPR license for growing 7,000 kilograms of medical cannabis per year. The purchase option provides the company with the ability to expand these options to acquire the whole Woodmere facility that consists of several greenhouse complexes. In addition, the multiple facilities could be used to grow multiple types of cannabis plants.
According to Health Canada, the medical cannabis market is expected to surpass $1 billion per year in annual revenue by 2024 with a dramatically growing patient population. The regulatory agency has already approved more than 10 licensed producers so far with hundreds of applicants having submitted applications hoping to become producers in the region over time.
Shares of Maple Leaf Green World are trading up approximately 600% so far this year following its entry into the medical cannabis market.
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