Tilray inventory rallies on pot distribution settlement with Develop Pharma
Tilray shares rose 38.8% on Tuesday after the company signed an agreement with Grow Pharma to import and distribute its medical cannabis products in the UK.
Under the contract, Tilray will be able to make these products available to UK patients on prescriptions obtained through the country’s National Health Service or a general practitioner. The company expects these products to be available in the UK next month.
“This partnership with Grow Pharma provides patients in need with access to sustainable supplies of GMP-certified, high-quality medical cannabis and is an important step towards improving access in the UK,” said Brendan Kennedy, CEO of Tilray, in a statement.
Pierre van Weperen, CEO of Grow Pharma, also noted that the agreement will provide British patients with “safe and sustainable supply of the highest quality medical cannabis products”.
This deal is Tilray’s latest move to expand its market share in the cannabis space. In December, Tilray announced it would merge with Aphria in an all-stock deal to create the world’s largest cannabis company when the deal is closed.
Tilray shares were on fire this year, rising nearly 400% as demand for cannabis products grows in the US and around the world.