ECS Botanics (ASX:ECS) hands over Tasmanian assets to Blue Buffalo

• ECS Botanics (ECS) reaches financial settlement of its Tasmanian medicinal cannabis business and assets
• The medicinal cannabis company agreed to sell its subsidiary, TasCo, to Blue Buffalo for $3 million
• As announced to the market on October 24, ECS entered an unconditional share purchase agreement with Blue Buffalo, with a $300,000 deposit paid upfront and the remainder of the funds paid on October 31
• ECS says it will use the money from the sale to continue the expansion of its medicinal cannabis facility in Victoria
• ECS Botanics last traded at 2.4 cents at 12:35 pm AEDT

ECS Botanics (ECS) has reached financial settlement of its Tasmanian medicinal cannabis business and assets for $3 million.

The medicinal cannabis company agreed to sell its subsidiary, TasCo, which holds its Tasmanian operations and farm, to Blue Buffalo for $3 million.

On October 24, the company announced to the market it had entered an unconditional share purchase agreement with Blue Buffalo, followed by a $300,000 upfront deposit.

The remainder of the funds transfer were required to occur by October 31.

ECS said it will use the money from the sale to continue the expansion of its medicinal cannabis facility in Victoria.

“The sale of TasCo completes the third and final step in the group’s restructure and streamlining announced to the market on the 14th of June this year,” ECS Managing Director Nan-Maree Schoerie said.

“This allows us to focus on the expansion at our Victorian operations which is proceeding rapidly.”

ECS Botanics last traded at 2.4 cents at 12:35 pm AEDT.