Article content

U.S. tobacco company Alliance One International Inc. has entered the cannabis market with the acquisition of two Canadian companies, marking what appears to be the first foray by a large publicly traded tobacco company into the Canadian marijuana industry.

Alliance’s wholly owned subsidiary Canadian Cultivated Products, Ltd. has purchased a 75 per cent stake in Prince Edward Island-based Canada’s Island Garden Inc. and an 80 per cent stake in Ontario-based Goldleaf Pharm Inc., the company announced in a press release on Thursday that accompanied its Q2 earnings. The company did not reveal how much it paid for the two Canadian companies.

We apologize, but this video has failed to load.

tap here to see other videos from our team. Try refreshing your browser, or U.S. tobacco seller buys majority stakes in PEI and Ontario cannabis companies in what may be first for industry Back to video

“We intend to broaden our business portfolio over the next three to four years by focusing on consumer-driven agricultural products, with increased operating margins when compared to our historical leaf processing business,” the company said.