The Bevo greenhouse in Langley is going into marijuana production.
It will continue growing and selling those products, but it will add legal marijuana, according to a written statement issued by Bevo Agro Inc. that said the Langley-based company has signed a reverse-takeover deal with Sun Pharm Investments Ltd. that will create a “combined entity” with 3.5 million square feet of available space to produce cannabis for domestic and international markets.
Under the terms of the agreement Bevo will be changing its name to Zenabis Global Inc. describes as one of Sun Pharm’s “established brands in the cannabis industry.”
Bevo’s Langley greenhouse facilities will be “expanded and retrofitted to integrate advanced propagation technologies and state-of-the-art lighting and ventilation systems” the announcement said.
The transaction was unanimously approved by the board of directors of Bevo and company shareholders holding approximately 58 per cent of the company have committed to vote their Bevo common shares in favour of the Transaction.
The deal creates “one of the world’s largest cannabis companies,” the statement said.
Leo Benne, the current general manager of Bevo Farms, was named chief growing officer.
He said Zenabis intends to invest up to $100 million in the Langley greenhouse to “provide state-of-the-art cannabis production capacity, while maintaining our existing propagation and floral business.”
“This partnership will bring new jobs and economic opportunities to the communities in which we operate, while we continue to support the local and international food and floral markets,” Benne said.
Rick Brar was named chief executive officer .
He was previously CEO of International Herbs Limited, one of the largest herb companies in North America.
“Our primary goal with this merger is to expand Zenabis’ capacity to supply high-quality cannabis for worldwide distribution,” Brar said.
We will achieve this by taking advantage of Bevo’s greenhouse growing expertise to cultivate high-quality cannabis, Brar added.
Bevo Agro operates approximately 53 acres of greenhouse facilities on 98 acres of land in Langley and 20 acres of land in Pitt Meadows.