Flowr and Hawthorne teamed up four years ago to build Canada’s first cannabis research and development facility, with Hawthorne supplying advanced lighting, fertilization and irrigation systems, growing mediums and research protocols.
Hawthorne will make an initial cash payment of $3 million and the full extinguishment of the principal amount outstanding under the existing loan agreement between Flowr and Hawthorne, which is approximately $12 million.
“The KRS building and Hawthorne partnership has given us the ability to trial and commercialize exotic and unique cannabis strains, giving us a competitive advantage in the Canadian market,” Flowr CEO Darryl Brooker said in a press release.
Flowr is also releasing four new genetics this spring that have been approved in Quebec, Ontario, Alberta and B.C.