On Monday Edmonton-based Canadian cannabis company Aurora Cannabis (NADAQ: ACB) announced that it acquired a significant equity stake in the Dutch company Growery, which cultivates, processes and distributes cannabis to coffee shops in the recreational cannabis market in the Netherlands.
“Our investment in Growery is a significant advancement for our global recreational cannabis strategy. The Netherlands is expected to be the largest federally regulated recreational market outside of Canada , and is a proof point that our medical market success in Europe is portable to recreational markets,” said Miguel Martin , Chief Executive Officer of Aurora Cannabis.
Growery is one of the few license holders entitled to participate in the Dutch government’s Controlled Cannabis Supply Chain Experiment. Anticipated demand in the ten Dutch municipalities selected for the experiment is 30,000 kilograms of dried flower annually. These ten municipalities contain 80 distribution points, 13% of all Dutch coffee shops.
Aurora Cannabis is the fourth largest Canadian cannabis company by net revenue after Canopy Growth, Tilray and Hexo and leader in the Canadian medical cannabis market. The company reported $195 million (US) for the 2021 fiscal year for 133% year-over-year growth.
According to Grand View Research the global legal marijuana market was valued a $9.1 billion in 2020 and is expected to grow at a compound annual growth rate of 26.7% from 2021 to 2028.