Feb 28 (Reuters) - Canada’s No.2 marijuana producer Aurora Cannabis Inc on Wednesday received final regulatory approval for the purchase of smaller rival CanniMed Therapeutics Inc, which would make it the world’s most valuable weed producer.
The approval of the C$1.1 billion ($857.37 million) deal from the Competition Bureau follows months of tensions between the companies and comes at a time when companies are jostling to gain from the country’s legalization of recreational use of pot.
Aurora had initially made a hostile bid capped at C$24 per share for CanniMed in November and increased it to C$43 in the new offer.
Cannimed, which was already engaged in a friendly deal to buy Newstrike Resources, canceled it in January in favor of the increased Aurora offer. ($1 = 1.2830 Canadian dollars) (Reporting by Ahmed Farhatha in Bengaluru; Editing by Arun Koyyur)