Tilray Brands (TSX: TLRY) is reportedly in the process of expanding its operations in Germany, where it says it is the first operator to be granted a new cannabis cultivation license under the new Cannabis Act known as MedCanG.
The license, which was granted to Aphria RX GmbH, will enable Tilray to expand its product offering from three strains up to 31 approved strains in the country. The company says it intends to replicate its Broken Coast operations in-country to enable the production of craft-quality cannabis.
“We see tremendous growth opportunities stemming from Germany’s landmark cannabis policy update. The new German medical market opportunity equates to about $3bn while the European opportunity, could represent a powerful growth market consisting of a potential $45bn medical market alone,” commented CEO Irwin Simon earlier this year when speaking to the modified regulations in Germany.
Aphria, under prior regulations, was previously granted approval to grow up to five lots of cannabis, or 1,000 kgs, to produce three approved strains of cannabis. The change in regulations within the country however has resulted in the need for expanded cultivation capacities to meet an expected increase in the number of both patients and prescribers.
Tilray last traded at $2.47 on the TSX.
Information for this briefing was found via Edgar, and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
