Subversive Acquisition LP Announces InterCure’s Expansion in Europe
InterCure has announced its expansion into Austria and Luxembourg through a joint venture with MediCann. The partnership involves a €10 million investment from MediCann into InterCure's Austrian subsidiary, which will be 51% owned by InterCure. This move aims to replicate InterCure's successful business model in Israel and enhance product distribution in Europe. The transaction was approved by shareholders and is expected to close by April 8, 2021. This strategic step aligns with InterCure's international growth objectives, targeting lucrative CBD and medical cannabis markets.
- €10 million investment from MediCann enhances financial backing.
- Expansion into Austria and Luxembourg aligns with international growth strategy.
- Access to a developed CBD market in Austria valued over $80 million in 2019.
- Partnership with experienced MediCann team may facilitate market entry.
- Market entry poses risks related to regulatory compliance in new regions.
- Integration challenges may arise between InterCure and MediCann operations.
InterCure to expand its operations into Austria and Luxembourg
Medicann, InterCure’s JV Partner, has committed a
Transaction approved by InterCure shareholders and expected to close by April 8, 2021
TORONTO, April 01, 2021 (GLOBE NEWSWIRE) -- SUBVERSIVE ACQUISITION LP (TSX: SVX.U, NEO: SVX.U, OTCQX: SBVRF) (“SVX”) announced today that InterCure Ltd. (dba Canndoc) (TASE: INCR) (“InterCure”), Israel’s leading cannabis company and SVX’s intended target for its “Qualifying Transaction” (the “Transaction”), has entered into a partnership with Austrian MediCann to operate together in the developing cannabis markets in Austria and Luxembourg. InterCure will replicate the successful model of its subsidiary Canndoc in Israel and will establish and manage the distribution, marketing, and sales of Canndoc's products in selected countries in Europe.
Similar to InterCure's leading Israeli model, the operation will be vertically integrated and will include both online and retail distribution for Canndoc's branded products. MediCann has committed to invest
The partnership is part of InterCure's international expansion strategy to major markets around the world. Austria has one of the most developed CBD wellness markets in Europe, and according to the Brightfield Group, sales of CBD products in the country reached over
Alexander Rabinovitch, InterCure CEO said: "We are happy to join forces with MediCann's team who have years of experience in retail and vast knowledge of the local markets. The expansion of the company's operations to a central European country is part of InterCure's international expansion strategy. This is an expression of trust, which is reflected in the investment of
Elijahu Chassidov, Founder of MediCann said: “Partnering with InterCure is not only a significant milestone for MediCann, but for the European cannabis market as a whole. As partner of InterCure, a leader of the Israeli cannabis market, MediCann is poised to exploit the rapid pace of growth of the European market and the increasing demand for access to premium quality cannabis products. With wealth of local market experience, as well as our network of supply and distribution partnerships throughout Europe, we are now uniquely positioned to supply medical cannabis, wellness CBD, and other derivative products."
Furthermore, on April 1, 2021, the InterCure shareholder vote approving the Transaction passed. The Transaction is expected to close by April 8, 2021.
About SVX
Subversive Acquisition LP is a limited partnership established under the Limited Partnerships Act (Ontario) formed for the purpose of effecting, directly or indirectly, an acquisition of one or more businesses or assets, by way of a merger, amalgamation, arrangement, equity exchange, asset acquisition, equity purchase, reorganization, or any other similar business combination involving SVX that will qualify as its qualifying transaction for the purposes of the rules of the TSX and Neo Exchange Inc. SVX is a special purpose acquisition corporation for the purposes of the rules of the TSX and Neo Exchange Inc.
For more information, visit https://www.subversivecapital.com/svx.
About Subversive Capital
Subversive Capital is a leading investment firm dedicated to investing in radical companies whose core missions subvert the status quo. With almost a decade of experience in the global cannabis industry, Subversive Capital has lead investments in some of the most successful transactions in the industry including the recent launch and closing transaction of Subversive Capital Acquisition Corp. to form The Parent Company (TPCO Holding Corp.) currently traded on the Neo Exchange and OTCQX.
For more information, visit www.subversivecapital.com
About InterCure and Canndoc
InterCure (TASE: INCR) is the first public company on the Tel Aviv Stock Exchange to hold a valid and permanent license for the medical cannabis value chain through its
Through its strategic exclusive collaboration with world leaders, distribution agreement with SLE (
For more information: http://www.canndoc.com
Forward‐Looking Statements
This press release may contain forward-looking information within the meaning of applicable securities legislation which reflects SVX’s current expectations regarding future events. The words “will”, “expects”, “intends” and similar expressions are often intended to identify forward-looking information, although not all forward-looking information contains these identifying words. Specific forward-looking information contained in this press release includes, but is not limited to: statements concerning InterCure’s projected growth and operations during 2021 the completion and proposed terms of, and matters relating to, the Transaction and the satisfaction of the required closing conditions. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond SVX’s control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to: failure to complete the Transaction, inability to obtain requisite regulatory or shareholder approvals, changes in general economic, business and political conditions, changes in applicable laws, the U.S. and Canadian regulatory landscapes and enforcement related to cannabis, changes in public opinion and perception of the cannabis industry, reliance on the expertise and judgment of senior management, as well as the factors discussed under the heading “Risk Factors” in the non-offering prospectus pertaining to the Transaction which is available on SEDAR at www.sedar.com. SVX undertakes no obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
FAQ
What is the purpose of InterCure's expansion into Austria and Luxembourg?
How much has MediCann invested in InterCure's Austrian subsidiary?
When is the transaction between InterCure and MediCann expected to close?
What is the significance of the partnership with MediCann for InterCure?
What challenges might InterCure face in entering the Austrian and Luxembourg markets?
