Company News

BUZZ-Australia's Cann Group rises most in nearly 11 months on tie-up with Canadian co

** Shares of Cann Group Ltd rise as much as 11.4 pct to A$1.860, their biggest intraday pct gain since April 30, 2018

** The company enters 5-year deal with Canadian peer Aurora Cannabis Inc for offtake of medicinal cannabis produced by co

** The medicinal cannabis cultivator also signs heads of agreement to buy a site in Mildura region in North West Victoria to construct a greenhouse for large scale production

** Co says new facility is expected to be fully commissioned by Q3 of 2020 and have a production capacity of 50,000 kg of dry flower per annum

** Estimated construction cost of facility is A$130 million ($92.29 million)

** Co reaffirms guidance, says when Mildura facility is fully operational, it expects to generate annual revenues of about A$160 mln to A$200 mln

** Stock hits highest since March 5, on track for a fourth consecutive session of gains

** Over 370,000 shares of co change hands, compared with the 30-day average volume of about 180,000 shares

** Co’s shares down 18.5 pct this year, as of last close ($1 = 1.4086 Australian dollars)