VANCOUVER, British Columbia, November 15, 2021 – PRESS RELEASE – Village Farms International, Inc. (Village Farms) announced that it has acquired a 70% stake in privately held Québec-based ROSE LifeScience (ROSE), a vertically integrated branded cannabis producer, supplier and marketing expert in the province of Québec . The transaction is valued at up to $ 46.7 million. ROSE will become the Québec operating unit of Village Farms’ Canadian cannabis business, with ROSE headquarters and existing team remaining in Québec.
ROSE is an external expert in the commercialization of cannabis products in the Province of Québec, acting as the exclusive direct sales, marketing and distribution unit for Entourage Health, Sundial, Tilray and The Flowr Corporation, as well as 10 Québec micro and craft farmers across Québec. ROSE also distributes its brand of high quality cannabis products to retailers in Québec. Tam Tams is grown and processed at ROSE’s Québec-based, Health Canada licensed 55,000 square foot controlled environmental agriculture (CEA), purpose-built facility in Huntingdon that opened in 2020. ROSE also enables a platform for commercialization in the market for several Québec-based micro-producers under the DLYS brand.
- Adds a significant presence in the province of Québec as a cannabis supplier, producer and marketer representing approximately 15% of total Canadian cannabis retail sales at a current annual rate of more than $ 627 million, the vast majority of which are dried flowers and pre-rolled products;
- Adds seasoned Québec-based industry experts who will join the Village Farms / Pure Sunfarms team to strengthen extensive existing relationships in the Québec cannabis market and leverage specialized, in-depth experience in both consumer products and regulated industries; and,
- Adds 55,000 square foot Health Canada licensed CEA cultivation and processing facility in Québec
“The acquisition of ROSE, we believe by far the most successful cannabis operator in Québec, is a prudent and strategic vehicle to enter one of Canada’s largest provincial cannabis markets and accelerate sales quickly,” said Michael DeGiglio, Village Farms CEO. “ROSE is expanding our Canadian cannabis business with an exceptional group of experts from Québec. The team has a proven track record and shares our belief in the importance of cultivating excellence and the benefits of innovation and continuous improvement. We look forward to building on the strong foundation of ROSE in the Québec market with a long-term commitment to the company’s Québec heritage. “
“ROSE immediately expands our reach to more than 90% of all Canadian cannabis retail sales and represents a major step forward in the strategy of Pure Sunfarms, the leading national cannabis supplier in Canada with a market share of at least 20% in the dried sector flower category, “said Mandesh Dosanjh, President and CEO of Pure Sunfarms.” ROSE is well recognized in the Québec cannabis industry and has a reputation for leadership and branding success that we know and respect well. We look forward to it to pursue the new short and long term opportunities through the addition of ROSE as our cannabis operating unit in Québec. “
“We have long admired the success of Village Farms and Pure Sunfarms in the Canadian cannabis industry. We are proud to work with them to accelerate our successes and to seize this opportunity to develop the industry in our home province of Québec, ”said Davide Zaffino, Co-Founder, President and CEO of ROSE. “We value our Québec roots and firmly believe in the culture and values of our province. As always, we are committed to ensuring that Québec benefits from the responsible production, sale and use of cannabis. As part of the outstanding family of cannabis companies Village Farms, we are even better positioned to continue playing this leading role in the Québec landscape. “