Moncton NB-based Organigram Holdings Inc. (OGI) (
TSE.OGI)
announced Friday it is providing an additional $2.5 million investment in biotechnology company Hyasynth Biologicals to assist in furthering the production of biosynthetic cannabinoids.
OGI made an initial $5 million investment in Hyasynth in September 2018 and the Friday announcement represents the second of three tranches the cannabis producer has the right to make.
As part of the deal, Organigram has the right to purchase potentially all of Hyasynth’s cannabinoid production at a 10% discount to the wholesale market price for a 10-year period.
Several cannabis producers including Organigram, along with Toronto-based
Cronos Group (
TSX.CRON), have significantly invested in synthetic cannabinoid research as a way to help drive down the cost of chemical compounds contained within the cannabis plant…down to pennies per gram.
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