CannaRoyalty executed a binding term sheet with its investee Wagner Dimas.
CannaRoyalty has increased its ownership in Wagner Dimas to 22% of the company, acquired an exclusive Canadian license for the entire portfolio of Wagner Dimas technology and been engaged as Wagner Dimas’ exclusive strategic advisor. CannaRoyalty intends to commercialize Wagner Dimas’ patent-pending cannabis pre-roll technology in Canada, subject to Health Canada approval.
“The pre-roll segment is one of the fastest growing, most sizeable market opportunities in the cannabis sector and Wagner Dimas is currently generating strong sequential revenue growth across all business lines,” said Marc Lustig, CEO of CannaRoyalty. “We’re thrilled to increase our ownership in this high growth, value-add cannabis business while at the same time continuing to grow our Canadian portfolio of assets. We anticipate this will be a valuable category in the Canadian cannabis market heading into the launch of the recreational market next year.”