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Little Green Pharma Ltd. ( (AU:LGP) ) just unveiled an update.
Little Green Pharma has agreed to acquire 100% of Cannatrek via a scheme of arrangement, in a merger that will create a fully vertically integrated medicinal cannabis group with substantial operations across Australia and Europe. Under the deal, Cannatrek shareholders will initially own about 60.5% and existing LGP shareholders 39.5% of the combined company, with additional contingent value shares potentially lifting Cannatrek’s stake further, and both boards backing the transaction in the absence of a superior proposal. On a simple amalgamated 2025 basis, the merged group would have recorded $112 million in revenue, $13 million in adjusted EBITDA and $15 million in cash, with anticipated synergies from better use of manufacturing capacity in Australia and Denmark, combined clinic operations, and tighter cost management. Management positions the merger as a transformational step toward scaling up to compete in the rapidly growing European medicinal cannabis market and to build a platform for further international expansion through both acquisitions and organic growth, supported by Cannatrek’s stronger balance sheet.
The most recent analyst rating on (AU:LGP) stock is a Buy with a A$0.18 price target. To see the full list of analyst forecasts on Little Green Pharma Ltd. stock, see the AU:LGP Stock Forecast page.
More about Little Green Pharma Ltd.
Little Green Pharma Ltd is an ASX-listed medicinal cannabis company focused on the Australian and European markets, with operations spanning cultivation, GMP-certified manufacturing and packaging, distribution, and clinic and digital health channels. Its products and services are positioned in the regulated medicinal cannabis sector, where scale, brand recognition and distribution capability are increasingly critical for capturing market share and maintaining long-term competitiveness.
Average Trading Volume: 192,812
Technical Sentiment Signal: Sell
Current Market Cap: A$36.68M
Learn more about LGP stock on TipRanks’ Stock Analysis page.