Maricann Group (MARI:CNX) stock is up 5.23% (at the time of writing) and it may be because the company has announced that it secured a manufacturing license from the Maltese government's development agency, Malta enterprise.
Maricann Group
Maricann is a Canadian medical cannabis producer, and further to its two other European operations in Switzerland and Germany, it will now be setting up shop in Malta to manufacture on a 2,750 sq meter area. Furthering its growth across Europe, the company acquired Haxxon in Switzerland back in January and in March, it declared its acquisition of the Maltese company Medican Research Group for €10 million.
CEO of Maricann, Ben Ward stated: "Maricann continues its path of organic growth and value acquisitions throughout the European Union, accessing key markets for differentiated products through Malta,”
The New License
According to the companies press release: "The company will be allowed to supply its Maltese operation with raw materials that will then undergo advanced post-processing to create pure cannabis distillates, allowing for true pharmaceutical manufacturing. According to its CEO, having the ability to commercially produce distillates is integral to its business strategy, as it allows it to work faster to deliver medicines within the European market."
Malta's Conditions
The medical cannabis producer's new Maltese venture is conditional on a number of regulations:
-It must employ at least 28 full-time employees within three years from the beginning of its business.
-Maricann must invest at least €9.5 million into site, plant and machinery improvements, also within three years
-It must obtain a license from the Medicines Authority.
-It must comply with reporting requirements.
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If Maricann can uphold these conditions then it will be able to produce medical cannabis for Maltese consumption, as well as, export around Europe (where legal).
The news has caused a stock rise for the company. It will be interesting to see how much further it can go.
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