(Smiths Falls, Ont.) Canopy Growth said on Wednesday it has signed an agreement to sell its subsidiary C3 Cannabinoid Compound Company GmbH to German company Dermapharm Holding SE.
Under the deal, Canopy will receive an upfront payment of $ 115.5 million.
The cannabis producer will also receive an additional $ 61.4 million, subject to certain milestones being met by the company.
Dermapharm is a European pharmaceutical company based in Gruenwald, Germany.
The businesses sold develop and manufacture pharmaceutical products and include Spectrum Therapeutics GmbH, THC Pharm GmbH The Health Concept and Spectrum Therapeutics Austria GmbH.
The deal, subject to regulatory approvals, is expected to close by January 31, 2022.