Icanic Brands (ICAN) has closed its acquisition of THC Engineering, an automated equipment manufacturer for the cannabis industry.
The acquisition gives Icanic access to THC's world-leading automated pre-roll technology IP, increased scalability and significant cost of goods savings.
Icanic issued 3,734,208 of its common shares in exchange for the company.
THC Engineering unitholders will also receive 15 per cent of net revenue profits derived from Icanic licensing THC's intellectual property rights throughout North America until May 6, 2024.
Subject to the completion of certain technological milestones, Icanic may issue common shares to THC Engineering unitholders up to an aggregate value of US$2,750,000.
THC Engineering delivers high-end standard equipment for cannabis product manufacturing.
Icanic Brands is a cannabis branded products manufacturer based in California and Nevada.
Icanic Brands (ICAN) is up by 2.86 per cent and is currently trading at $0.36 per share as of 9:50 am ET.