Canada's Abattis Bioceuticals Corp. entered a definitive share exchange agreement with NutriVida.
Vancouver, British Columbia-based Abattis will acquire NutriVida for 58,823,529 common shares at a deemed price of 8.5 Canadian cents per share and C$250,000 in cash.
The companies had signed a nonbinding letter of agreement in December 2018.
NutriVida, which is the operating name of 1157016 B.C. Ltd., is a privately held fertilizer and nutrient company based in Langley, British Columbia.
Abattis Bioceuticals also agreed to pay additional milestone payments of up to C$10 million in shares, based on the achievement of certain revenue targets and permits in several U.S. states.
Upon closing of the acquisition, the Abattis Bioceuticals board will comprise six nominees from the company and one nominee from NutriVida.
Abattis Bioceuticals said the NutriVida deal complements its acquisition of Select Strains Inc., as it works to become a vertically integrated cannabis cultivation company.
The transaction remains subject to due diligence, approval from both the Abattis Bioceuticals and NutriVida boards, as well as other customary conditions.
Abattis Bioceuticals is a life sciences and biotechnology company that aggregates, integrates and invests in cannabis technologies and biotechnology services.