The Cannabis Act is a milestone toward the end of prohibition of recreational cannabis in Canada and is expected to be an important driver of growth for THC’s hydroponics division.
Canada will be the largest developed nation to legalise nationwide recreational use for adults over the age of 18.
While medicinal cannabis has been legal in Canada since 2001, the recreational market has remained very fragmented without an established legal framework.
Significant opportunity to grow revenue streams in Canada
THC chairman Steven Xu said: “A decision to legalise recreational use of cannabis will open up a significant opportunity for THC to augment our established revenue streams in Canada, where we supply +600 products, have nine trademarks for hydroponic equipment and growing mediums and plan to execute potential value- accretive acquisitions that will deliver substantial revenue growth for the company in the near term.”
The company recently acquired biomanufacturing facilities in Queensland, pushing THC to the forefront of the Australian medicinal cannabis industry.
The facility is one of the largest pharmaceutical botanicals extraction and refinement plants in the Southern Hemisphere.