Marimed Inc (OTCMKTS:MRMD), a major US. hemp and cannabis operator, announced on Thursday that it plans to buy 70% of MediTaurus stake and the transaction will be handled by its MariMed Hemp subsidiary.
MediTaurus holds numerous intellectual property patents for cannabis formulations and it also owns the Florance CBD health brand. The latter has a robust network of pharmacies, wholesalers, online distributors and physicians in the EU and the U.S. MariMed will become the major shareholder in MediTaurus once the transaction is complete. The companies did not reveal the terms of the acquisition deal.
“We look forward to helping MariMed educate consumers around the world on how to safely and effectively use cannabis products to address nutritional, health and wellness conditions,” stated Dr. Jokūbas Žiburkus, the founder and CEO of MediTaurus. He also note that the company was pleased about becoming part of MariMed because their joint expertise will lead to the creation of world-class processes and products.
The acquisition will provide synergy and opportunities for both firms
Dr. Žiburkus also believes that the currently rapid growth in the medical cannabis and hemp industries presents a lot of opportunities that can be tapped through synergies from consumers, medical practitioners and scientists. He also believes that the transaction between MediTaurus and MariMed will allow his company to tap into all the known benefits of the cannabis plant.
MariMed CEO Bob Fireman noted that the transaction will be vital to his company. As far as operations are concerned, the deal will allow the Florance™ brand TO strengthen its MariMed Hemp division through its robust and premium CBD health and wellness products. The acquisition will also provide MariMed with access to MediTaurus’ IP as well as European partnerships.
MariMed will also tap into the benefits that MediTaurus will offer through the research experience and expertise of its founders. The two companies also align with each other as far as company culture and values are concerned. Together they will work towards research aimed at identifying more benefits that can be derived from cannabis and hemp.