RAMM Pharma, a cannabis-based pharmaceutical company with products in several Latin American countries, has bought Sicilian CBD processing company Canapar in an all-stock transaction worth about $22 million ($26.2 million Canadian dollars).
Based in Toronto, RAMM purchased 49% of Canapar stock earlier this year. The transaction announced Wednesday has RAMM paying 21.9 million shares worth about CA$1.20 per share.
Canapar is a Sicily-based manufacturer and processor of CBD oil and isolates that sources its biomass from farmers and local companies under its subsidiary Canapar Farming in Southern Italy.
RAMM called the deal a “transformational acquisition.”
“It further strengthens our presence as a leader in the European cannabis market with a prominent and differentiated global cannabis platform,” RAMM CEO Jack Burnett said in a statement.
RAMM is active in CBD pharmaceuticals in South America, producing the drug Epifractan in Uruguay for the local medical market and the wider regional market. It has exported more than $200,000 of the product to Argentina, Brazil and Peru, mostly during 2020.
RAMM Pharma trades on the Canadian Securities Exchange as RAMM.