Flora Growth Cannabis Expands European Presence With Strategic Supply Agreement For Medical Marijuana

Flora Growth Corp. FLGC announced Wednesday a supply agreement with Blossom Genetics to bring Colombian medical cannabis to the German market.

What Happened: This collaboration will introduce two strains, Chemmy Jones and Northern Lights, to the European country. The move follows the company's recent acquisition of Germany-based TruHC Pharma GmbH in response to the country’s recent cannabis reform.

Flora’s wholly-owned subsidiaries have been active in Germany since 2017, being among the first to obtain medical cannabis licenses in the country. Flora also holds an EU-GMP facility in Germany and has a distribution network with access to over 1,200 pharmacies nationwide.

Read Also: Flora Growth Q2 Revenue Declines 27% YoY, Reduces Net Loss, Highlights Expansion In Germany, Australia And US

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Why It Matters: The move "underscores Flora’s commitment to scaling operations in Europe, ensuring that German patients have access to some of the world’s best cannabis strains, the company said in a press release.

Clifford Starke, chairman and CEO, explained what the deal means for Flora.

“This supply agreement with Blossom Genetics is a pivotal step in our efforts to expand Flora’s global presence and provide top-tier cannabis products to Germany," Starke said. "The demand for medical cannabis has surged since legalization, and we are confident that the strains we will bring to the market, will resonate with patients and healthcare providers alike.”

Last month, the company confirmed its common shares are trading on the Frankfurt Stock Exchange under the symbol "7301." The listing, Starke said earlier, allows new European investors to gain exposure to the company by increasing its trading liquidity and facilitating investment from European investors.

Price Action: Flora Growth's shares traded 6.6762% higher at $1.1201 per share at the time of writing on Thursday morning.

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