This Cannabis Pioneer Is Ramping Up Its Presence In Germany As Weed Legalization Takes Effect
Portfolio Pulse from Jelena Martinovic
Flora Growth Corp. (NASDAQ:FLGC) is expanding its presence in Germany in response to the country's new cannabis legalization law. The Canadian-based company, serving all 50 U.S. states and 28 countries, plans to launch a cannabis home grow kit in Germany, capitalizing on the recreational cannabis market expected to reach $4.2 billion. Additionally, Flora Growth announced its intention to acquire TruHC Pharma GmbH for $6.4 million in stock, aiming to leverage TruHC's German cannabis platform. The company also signed an exclusive distribution agreement with Althea Group Holdings Limited for Vessel brands in the UK, targeting the vape pen and dry herb vaporizers market.
April 02, 2024 | 8:22 pm
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Flora Growth Corp. is expanding in Germany following cannabis legalization, launching home grow kits, and acquiring TruHC Pharma GmbH. It also entered the UK market through a distribution deal for Vessel brands.
The expansion in Germany and the acquisition of TruHC Pharma GmbH are likely to provide FLGC with significant growth opportunities in the European cannabis market. The entry into the UK vape market through the distribution deal for Vessel brands taps into a growing industry, potentially boosting FLGC's revenue and market share. However, the recent 10.09% drop in FLGC's share price indicates market volatility or concerns that may temper short-term gains.
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