MediPharm Labs Corp. (TSX: LABS) (OTCQX: MEDIF) (“MediPharm”, “MediPharm Labs” or the “Company”) has terminated the previously announced sale of its facility in Napanee, Ontario (the “Napanee Facility”) to Kensana Health Inc. (“Kensana Health”), which was to be completed through the sale of the Company’s wholly-owned subsidiary ABcann Medicinals Inc. (“ABcann”) to Kensana Health pursuant to the terms of a share purchase agreement (as amended, the “Purchase Agreement”) entered into with Kensana Health (the “Transaction”).
The Company has given notice of termination as required under the Purchase Agreement, as Kensana Health did not meet certain agreed upon terms and conditions within the timelines set out therein. Pursuant to the terms of the Purchase Agreement, MediPharm Labs will retain certain non-refundable deposits received from Kensana Health. For further details regarding the Transaction, please see the Company’s press releases dated December 17, 2024 and January 16, 2025.
MediPharm Labs’ current, commercial agreements and operations at the Napanee Facility, are expected to continue without disruption.
MediPharm’s experience in highly regulated global markets and unique suite of internationally recognized licenses has positioned the Company as a partner of choice to bring Canadian products to international markets. We are seeing increasing demand for our international Business to Business (“B2B”) GMP services in both Barrie and Napanee.
“Growing our profitable international revenue was a critical element of our success in 2024. We will continue to use the Napanee Facility to capitalize on international opportunities in 2025” said David Pidduck, CEO of MediPharm Labs.
