Medican Enterprises Inc. (
), a biopharmaceutical company in the emerging global medical cannabis industry, recently announced that its joint venture partner secured conditional zoning approval from the City of Delta in Vancouver, British Columbia to operate a 25,000 square foot facility. The approval represents a key hurdle in becoming a licensed producer.
“We are very pleased with this approval in Delta,” said Medican Enterprises Inc. CEO Ken Williams. “It reaffirms the wisdom of our choice of Canadian partners. We are continually impressed with the abilities and professionalism of everyone at IHMML [International Herbs Medical Marijuana Ltd.].”
Under Canadian law, individual municipalities must give licensed medical marijuana producers permission to operate within city limits. The City of Delta immediately introduced stringent zoning regulations that prohibited medical cannabis facilities in all zones, including agricultural properties, but indicated that it would consider proposals on a case-by-case basis – a process that led to IHMML’s approval.
Throughout the process, IHMML had to demonstrate the competency of their management team, extensive security plans, and the support of Health Canada. Rick Brar of IHMML stated that the plant would meet Health Canada’s strict requirements, while the company agreed to operate as “as open book, full disclosure company” that understands the needs of the community.
On May 8, 2014, Medican Enterprises finalized the approval of the acquisition terms for IHMML. The company intends to acquire 50% of the organization and now has all signatures and approvals necessary for the Amendment Agreement that was previously announced on May 5, 2014. The joint venture would provide shareholders with 50% exposure to Canada’s growing medical cannabis industry.
Shares of Medican Enterprises Inc. soared more than 20% during Monday’s trading.