Akanda Corp Completes the Acquisition of Bophelo and CanMart from Halo Collective, Targets International Medical Cannabis Industry
The Dank Investor Posted On November 10, 2021 
Akanda Corp., a company focused on providing ethically-sourced medical cannabis products for patients, announced the completion of its acquisition of Bophelo Bio Science & Wellness (Pty) Ltd. and CanMart Ltd. from Halo Collective Inc. (NEO: HALO) (OTCQB: HCAND) (Germany: A9KN).
The acquisition of these two international medical cannabis supply chains is believed to make Akanda a leading player in the fast-developing international medical cannabis industry.
Once the transaction is complete, the company will be able to get into international markets through multiple channels like CanMart, which is a licensed UK-based importer and distributor, Cantourage, one of Europe’s leading EU GMP providers of medical cannabis, and also through other supply chains.
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About Akanda Corp.
Akanda is an integrated medical cannabis company cultivating cannabis of the highest quality and serving international markets by providing medical cannabis products for medical patients worldwide.
The company is leveraging trusted brands at a comparatively low cost. Its initial portfolio includes Bophelo Bioscience & Wellness, a GACP certified cultivation and processing campus in the Kingdom of Lesotho in Southern Africa, and CanMart, a UK-based pharmaceutical importer and distributor supplying pharmacies and clinics within the U.K.
Akanda is committed to making use of its operations for sustainability and social benefit; for driving positive changes in wellness; for empowering people in Lesotho; and for improving the quality of the lives of its employees as well as local people in the areas where in operates.
It is also fully focused on adhering to the right Environmental, Social, and Governance (ESG) standards and thereby reducing carbon footprint in the places where it operates.
The Acquisition Enables Akanda to Become an International Medical Cannabis Company
Tej Virk, CEO and Director of Akanda, said that the day marked a major step in the company’s progress to get established as an international medical cannabis company helping patients around the world to lead better lives.
He said that since the company had now access to the 200 hectares of GACP-certified Bophelo campus in Lesotho, it was leveraging the country’s ideal growing conditions and exceptional talent pool to produce medical cannabis of the highest quality at an extremely competitive price.
The company was certain that it was in possession of one of the industry’s best platforms to meet patient needs and gain market share in the rapidly growing international cannabis market.
In accordance with the terms of the agreement, Akanda has purchased 100% of the issued and outstanding shares of Canahealth Limited, a company registered in Malta which holds the Bophelo and CanMart assets. The company bought it from Halo in exchange of 13,129,212 common shares in the capital of Akanda.
Akanda issued a secured convertible debenture to Halo in the principal amount of US$6.6 million in exchange for acquiring all outstanding debts owed by Bophelo & CanMart to Halo.
The Debenture bears an annual interest of 1%, which can be paid in the form of Akanda Shares at the applicable conversion price, and it will be automatically converted into Akanda Shares upon the happening of certain liquidity events within six months from the date of issuing the debenture.
This will include an initial public offering of Akanda Shares on a stock exchange, an amalgamation, arrangement, merger, reverse takeover, reorganization or other similar transaction of Akanda with or into any other person, or a sale or conveyance of all or most of the property and assets of Akanda.
The Debenture is also convertible into Akanda Shares, at the option of Akanda, at any time prior to the maturity date. As a result, Halo now owns about 68.3% of the issued and outstanding shares of Akanda.
Bophelo oversees the cultivation and production of medical cannabis products for international export in the Kingdom of Lesotho. Because of its partnerships and licensing agreements with award-winning seed producers like DNA Genetics, Bophelo is giving Akanda an entry into the wider African continent and access to international markets.
CanMart is one of a limited number of fully-approved importers and distributors of medical cannabis products in the U.K. market with supply and distribution chains to pharmacies and clinics throughout the U.K. It is working to get a range of the best cannabis-based medicinal products sourced from around the world.
