On May 14, the firm announced it had signed a letter of intent to buy Verrian, which owns and operates an EU-GMP, ISO 14001 compliant 110,000 square foot facility in Radebuel, Germany that was a former pharmaceutical manufacturing centre.
Both the facility and its equipment are independently valued at C$10.6 million, including an analytical laboratory, and full pharmaceutical manufacturing suite. Verrian develops natural medicine products related to addition reduction and has also invested around C$2.4 million into clinical trial design and developing proprietary formulations of its patented PSI-GEN psilocybin formulations and cannabis products.
"Signing this binding term sheet is an important step towards Mota's goal of becoming a leader in the natural health space," said Ryan Hoggan, CEO of Mota Ventures.
"Verrian's significant investment into its licensing, research, equipment and facilities have made it one of the top psychedelic medicine companies. Mota is poised to capitalize on an emerging industry and will continue to expand its North American and European operations to ensure a strong distribution network is in place once this line of product is approved to go to market."
Under the terms, Mota would acquire all of the shares in Verrian for C$20 million in shares. In addition to these consideration shares, upon closing , it will repay existing shareholder loans of Verrian totaling around C$1.1 million.
Verrian, said Mota, will operate three distinct business segments:
- Pharmaceutical Manufacturing - A portfolio of medical & wellness products
- Phyto API - API creation from medical plants
- Analytical Testing - European Medicine Agency Standards