Aurora Cannabis Sells Enormous Aurora Sun Greenhouse in Multimillion-Dollar Deal, Boosting Bevo Farms’ Growth”

Aurora Sun <a href="https://leafyleaks.com/tag/greenhouse/" class="st_tag internal_tag " rel="tag" title="Posts tagged with Greenhouse">Greenhouse</a> <a href="https://leafyleaks.com/tag/sale/" class="st_tag internal_tag " rel="tag" title="Posts tagged with Sale">Sale</a> Spurs Bevo Farms’ Growth in Multi-Million Dollar Deal

Aurora Sun Greenhouse Sale Spurs Bevo Farms’ Growth in Multi-Million Dollar Deal

In a significant development, Canadian marijuana producer Aurora Cannabis has concluded the sale of its expansive Aurora Sun greenhouse to Bevo Farms. The specific value of the transaction remains undisclosed. Nevertheless, it holds the potential for Bevo Farms to make of up to 15 million Canadian dollars ($11.4 million) over time, contingent upon the achievement of certain financial milestones at the facility. Aurora recently announced the in a press release on Monday.

Details of the Transaction

Aurora Cannabis, which recently acquired a controlling interest in Bevo for CA$45 million, has taken another stride by finalizing this sale. Bevo Farms, a subsidiary of flower and vegetable producer Bevo Agtech, stands to gain significantly from this deal as they proceed with the expansion of their . The massive Aurora Sun facility, located in Hat, Alberta, had been put up for sale by Aurora in 2021, as reported by MJBizDaily.

Previous Deal and Current Benefits

It’s worth noting that Aurora had previously disclosed a pending sale of the Sun facility for nearly CA$47 million in 2022. However, that transaction fell through due to the purchaser failing to meet closing conditions. Now, with the deal with Bevo Farms, Aurora expects to not only improve its cash flow but also save CA$2 million in annual carrying costs associated with maintaining the idle Sun greenhouse.

Facility Closures and Construction Halt

In recent years, Aurora has made significant decisions to close or halt construction on various facilities. Among those affected were the Aurora Polaris facility in Edmonton, an outdoor farm in Westwold, British Columbia, and a greenhouse in Exeter, Ontario, among others. facilities in Denmark were also impacted by these measures.

Financial Overview

The sale of the Aurora Sun greenhouse comes at a time when the company reported a net loss of CA$87 million for the quarter ended March 31. Despite this, Aurora remains traded as ACB on the Nasdaq and Toronto Stock Exchange.

Conclusion

As the transaction with Bevo Farms reaches its conclusion, both companies look forward to reaping the . Aurora’s strategic move not only improves its cash flow but also aligns with Bevo Farms’ business expansion plans. The deal signifies a promising step for the industry and highlights their continued commitment to growth and development.

Malvin Felix
I'm Malvin, a cannabis news enthusiast who finds joy in staying updated about the latest industry trends. My passion led me to become a dedicated writer, entrepreneur, and investor in the cannabis space. Through my writing, I aim to educate and spark discussions, while my entrepreneurial ventures and strategic investments reflect my commitment to driving positive change in the industry.

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