On Thursday, Halo Collective Inc. (NEO: HALO) (OTCQB: HCANF) (Germany: A9KN) announced the completion of its previously-announced share purchase transaction with Akanda Corp.
The transaction creates two stand-alone entities, Halo, which will continue to focus on the North American adult-use cannabis market, and Akanda, which will focus on medical cannabis for international markets, Kiran Sidhu, CEO of Halo, explained.
Prior to the closing of the transaction, Halo completed an internal reorganization, under which each of Bophelo Bio Science & Wellness Pty. Ltd. and CanMart Ltd. became, directly or indirectly, wholly-owned subsidiaries of Cannaheath Limited, a company registered in Malta, which at the time was a direct wholly-owned subsidiary of Halo.
Under the terms of the agreement, Halo exchanged 100% of the issued and outstanding shares of Cannahealth to Akanda in exchange for 13.13 million common shares in the capital of Akanda, representing deemed consideration of $13.1 million, which is equal to Halo's book value of Bophelo and CanMart.
"The separation provides each …