MediPharm Labs Extends Deadline for $5.5M Napanee Facility Sale to Kensana Health
Key Insights
MediPharm Labs (search) and Kensana Health (search) have extended the closing deadline for the $5.5 million sale of the Napanee facility to January 31, 2025.
The transaction involves the disposition of MediPharm's indirect equity interests in wholly-owned subsidiary ABcann Medicinals Inc. (search) to Kensana Health (search).
Operations at the Napanee facility continue without disruption while both companies advance toward completing the transaction.
MediPharm Labs (search) Corp. has announced an extension of the closing deadline for its previously announced $5.5 million sale of the Napanee, Ontario facility to Kensana Health (search) Inc. The companies have agreed to extend the outside date for closing to January 31, 2025, as they continue advancing toward completion of the transaction.
The sale is structured as a disposition of all of MediPharm's indirect equity interests in its wholly-owned subsidiary ABcann Medicinals Inc. (search) to Kensana Health (search) for $5.5 million in cash. Operations at the Napanee facility continue without disruption during the transition period.
Transaction Details and Timeline
The transaction remains subject to customary closing conditions and receipt of all necessary approvals. MediPharm Labs (search) first announced the sale agreement in December 2024, with the original terms outlined in a share purchase agreement between the two companies.
Both MediPharm Labs (search) and Kensana Health (search) continue to work toward satisfying the remaining conditions for closing, with the extended deadline providing additional time to complete the necessary regulatory and administrative requirements.
About the Companies
Kensana Health (search) operates as a Canadian private company with global operations, positioning itself as a hybrid biotechnology company with expertise in plant-based medicines and chronic wound treatments. The company follows Environmental, Social, and Governance (ESG) principles and operates on a vertically integrated model to control all aspects of its supply chain.
MediPharm Labs (search), founded in 2015, specializes in developing and manufacturing purified, pharmaceutical-quality cannabis concentrates and active pharmaceutical ingredients using GMP-certified facilities with ISO standard-built clean rooms. The company received a Pharmaceutical Drug Establishment License from Health Canada in 2021, becoming the only company in North America to hold a commercial-scale domestic Good Manufacturing Practices License for extracting multiple natural cannabinoids.
In 2023, MediPharm expanded its operations through the acquisition of VIVO Cannabis Inc. (search), which provided access to medical cannabis patients in Canada, Australia, and Germany through various platforms including Canna Farms (search) medical ecommerce platform and Beacon Medical operations.