x

Economy

Greek Medical Marijuana Company Heads for London Exchange

LONDON — In a reverse takeover deal, the Greek medical marijuana company Hellenic Dynamics will be listed on the London Stock Exchange as the sector seeks to expand in Greece and attract more businesses.

Yahoo Finance said that it's being done through UK SPAC Plc, a London-listed shell company, which wants to take the company public in a deal estimated at some $62.5 million.

The transaction combines two of the hottest trends in public markets over the last few years: SPACs and cannabis, both luring investor attention and Greece wanting to pick up the medical marijuana business.

Hellenic Dynamics, founded in 2019, is currently building a 200,000 square meter (2,152,782 square foot) cannabis cultivation factory in Northern Greece and hopes to start selling medical grade cannabis oils and flowers in 2022 and has signed two term sheets for distribution deals, the report added.

"This is a major step forward for Hellenic as we look to establish ourselves as a leading cultivator of THC dominant medical cannabis in Europe and develop specialist strains of cannabis specific to individual medical ailments," Hellenic's Vice-President Davinder Rai told the site.

Europe's cannabis market is worth around $3.47 billion but could explode into 10 times worth that over the next five years because of deregulation opening the doors and floodgates.

"With patient demand for medical cannabis increasing and a willingness among governments to regulate and open up this important market we are very optimistic about our future as a listed company," Rai said.

UK SPAC Chairman Peter Jay said: "I am delighted that the company has been able to contract to acquire this extremely exciting and impressive company which has the ambition and the potential to become one of the major growers of medicinal cannabis in Europe."

Hellenic Dynamics said in May it wanted to be listed on the London Stock Exchange with a planned initial public offer that was then set for June.

The site Proactive said the company was seeking a valuation equivalent to $70.86 million, citing its partnership with the respected American Farm School in Greece which centers on agricultural genetics research.

“London is going to be the place that a number of cannabis companies will end up listing, and you’d be in very good company if you listed in London,”Rai told CityAM at the time.

In January, the New Democracy government said hoped that a growing cultivation of medical marijuana would help get the economy going after after being driven down hard by the COVID-19 pandemic.

A proposal then presented by Development and Investments Minister Adonis Georgiadis showed the cannabis would not be subject to the same laws as that sold domestically, which must follow the existing legislation calling for approval by the Hellenic Organization of Pharmaceuticals, said Kathimerini.

Exported products will be solely subject to the laws in the country importing them, the scheme at boosting production and exports, especially in view of increased interest by investors, the report also added.

RELATED

ATHENS - While scores of thousands of Greeks fled the country during a near decade-long eonomic and austerity crisis, seeking jobs and a better life in other countries, a relative handful are coming back, along with foreign investors drawn by low taxes.

Top Stories

General News

FALMOUTH, MA – The police in Falmouth have identified the victim in an accident involving a car plunging into the ocean on February 20, NBC10 Boston reported.

General News

NEW YORK – Meropi Kyriacou, the new Principal of The Cathedral School in Manhattan, was honored as The National Herald’s Educator of the Year.

General News

PHILADELPHIA – The Federation of Hellenic Societies of Philadelphia and Greater Delaware Valley announced that the Evzones, the Presidential Guard of Greece will be participating in the Philadelphia Greek Independence Day Parade on March 20.

Video

Woman Fatally Shot while Pushing Stroller on Upper East Side

NEW YORK — A 20-year-old woman was fatally shot Wednesday night while she pushed her infant daughter in a stroller on the Upper East Side, police said.

Enter your email address to subscribe

Provide your email address to subscribe. For e.g. abc@xyz.com

You may unsubscribe at any time using the link in our newsletter.