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Merger & Acquisitions
Mergers and Acquisitions
Cannabis Licenses are issued to an individual or corporation at a specific site based on their physical security measures, key personnel and good production practices. A proposed transfer of ownership is subject to many factors and health Canada assesses the compliance of these transactions on a case-by-case basis.
Health Canada requirements:
- Licence Holder Information
- Transaction details (eg. Share sale, asset sale, merger, amalgamation, internal re-structing, etc.)
- Security clearance submitted for all new proposed personnel
- Proposed OSP
- Proposed Key Investor Report
- Incorporation documentation
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These documents must be submitted if:
- The Licence holder is contemplating a business transaction that could result in a change to the site personnel, Corporate Personnel, and/or activities at the site.
- The Parent company is contemplating a business transaction that could result in a change to the corporate personnel or the licence holder.
- There is a proposed internal re-organization that would affect the reporting structure (eg. Sister company merging with licence holder, parent company merging with licence holder) of the licence holder.
- There are proposed new investors interested in the licence holder and/or parent company would end up having a controlling interest.
If you submit an incomplete or “messy” application on your own, you may have to wait longer for the change of control approval.