Canadian Cannabis Grower Zenabis Boosts Capacity By 30% Following License Win
Zenabis Global Inc (OTC: ZBISF) announced Tuesday a Health Canada licensing win that will augment its annual production capacity by roughly one-third.
What Happened
Zenabis Global said it received a cultivation license for Zenabis Langley from Health Canada on Friday.
Zenabis Langley is an advanced production site that supports both growing and packaging operations for both bulk and retail products.
The license, according to the company, will add 9,900 kilograms of licensed annual production capacity at Zenabis Langely Part 1.
With this, the total annual licensed annual cultivation capacity increases from 32,900 kg to 42,800 kg of dried cannabis, up over 30%, Zenabis said.
The company expects Zenabis Langely to achieve a product quality comparable to the output from its existing indoor facility, Zenabis Atholville, at a cultivation cost of CA$0.75 per gram or less.
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What's Next
The capacity augmentation is likely to help Zenabis take advantage of the booming cannabis industry.
"Zenabis has now secured the Health Canada licenses required for all four of its cannabis facilities with 438,200 square feet of current licensed operational space," the company said in Tuesday's press release.
The company also said construction work is continuing on Part 2 of Site A, which would add 86,200 kg of annual design cultivation capacity.
Zenabis shares were trading higher by 1.61% at $1.14 at the time of publication Tuesday.
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