Canadian Manufacturing

Tilray to close Leamington greenhouse over next 6 weeks

The cannabis firm says it anticipates about $7.5 million in net annualized savings

May 27, 2020  The Canadian Press

NANAIMO, BC — Tilray Inc. says it will close a licensed cannabis greenhouse in Ontario, which will save the company millions of dollars a year.

The Nanaimo, BC-based company says it will close its wholly-owned subsidiary High Park Gardens in Leamington, Ont., over the next six weeks.

Tilray says it anticipates about $7.5 million in net annualized savings, as well as avoid significant ongoing capital expenditures as a result.

Tilray acquired Natura Naturals Inc. in 2019 and the company has operated as High Park Gardens since then.

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The facility contains about 37,700 square metres (or 406,000 square feet) of cannabis cultivation and manufacturing space that’s been licensed by Health Canada, and primarily served Canada’s adult-use market.

Tilray CEO Brendan Kennedy says in a statement that the company is confident the decision will put it in a better position to achieve its goals, including driving revenues across its core business.