MMJ subsidiaries: United Greeneries and Satipharm to list on TSX-V

Published at Sep 28, 2016, in ASX Biotechs

Subsidiary divisions of medical cannabis company MMJ PhytoTech Limited (ASX:MMJ); United Greeneries Holdings Ltd and Satipharm AG, plans to list on the Canadian TSX-V exchange.

A binding term sheet has been signed between MMJ and the TSX-V listed company Top Strike Resources Limited (TSX-V:TSR), for Top Strike to acquire 100% of the issues shares in United Greeneries and Satipharm.

The planned reverse takeover remains subject to shareholder approval, due diligence and completion of the financing and execution of a definitive agreement.

MMJ shareholders will gain exposure to the rapidly growing recreational and medical cannabis markets in Canada.

Following the spin out, shareholders in MMJ will have indirect ownership in the fully-financed brands United Greeneries and Satipharm, whilst also gaining exposure to the Canadian market.

The aggregated sale price of United Greeneries and Satipharm (C$40 million) which represents approximately 97% of MMJ’s current market capitalisation at a share price of $0.24.

Since July 2016 MMJ share price is down 6% whilst peers are up 175% on average:

The listing of MMJ’s subsidiaries on the TSX-V exposes the brands to Canada’s capital markets that have seen over $200M raised since March 1st, 2016 by MMJ’s peers.

The Canadian cannabis market is one of the most highly regulated and favourable operating jurisdictions in the world. Of the 34 approved companies operating under the current regulatory conditions, only 10 are publicly listed in Canada.

The medical cannabis market in Canada is expected to grow to C$3 billion in in annual sales by 2024. An average of 5,000 new patients are treated with medicinal cannabis each month, with a total 75,000 patients currently enrolled.

The Canadian recreational market has a conservative estimate value of around C$5 billion per annum.

With the Canadian government committed to introduce new regulation surrounding recreational use of cannabis, MMJ’s subsidiaries may benefit from first mover advantage.

There is no guarantee these laws will be passed or will translate into commercial revenues for MMJ and its subsidiaries so please conduct your own due diligence and seek professional financial advice before making any investment decision.

MMJ expects the reverse takeover transaction to be finalised and listed on the TSX-V before the end of December 2016.

View Our Investment Portfolios

S3 Consortium Pty Ltd (CAR No.433913) is a corporate authorised representative of LeMessurier Securities Pty Ltd (AFSL No. 296877). The information contained in this article is general information only. Any advice is general advice only. Neither your personal objectives, financial situation nor needs have been taken into consideration. Accordingly you should consider how appropriate the advice (if any) is to those objectives, financial situation and needs, before acting on the advice.

Conflict of Interest Notice

S3 Consortium Pty Ltd does and seeks to do business with companies featured in its articles. As a result, investors should be aware that the Firm may have a conflict of interest that could affect the objectivity of this article. Investors should consider this article as only a single factor in making any investment decision. The publishers of this article also wish to disclose that they may hold this stock in their portfolios and that any decision to purchase this stock should be done so after the purchaser has made their own inquires as to the validity of any information in this article.

Publishers Notice

The information contained in this article is current at the finalised date. The information contained in this article is based on sources reasonably considered to be reliable by S3 Consortium Pty Ltd, and available in the public domain. No “insider information” is ever sourced, disclosed or used by S3 Consortium.

Australian ASX Small Cap stocks | Why is Australia’s leading small cap publication

Founded seven years ago, is Australia’s leading and longest standing website for investor and finance news, education and expert opinion.

Published by StocksDigital, Finfeed was created to report daily on the comings and goings of ASX listed stocks in the small cap market.

As the first digital publication dedicated specifically to this space, Finfeed soon became the most trusted publication in the market, quickly garnering over two million page views – a number that continues to rise. provides its readers with informative articles that tackle the latest in market moving #ASX small cap news, plus exclusive content you won’t find anywhere else. It is aimed at those with an interest in investing, market education, company performance, start-ups and much more. is the only media organisation operating under the strength of a Financial Services License and is backed by leading journalists and analysts all with brands of their own.

The website aims to inform, educate and entertain with content that drills down into the heart of financial matters.

Finfeed is a leading source of investor and market information, with everything investors need to know about how to invest written in a way that anyone can understand. 

Over the years, the website has expanded beyond exclusively reporting on small caps, to profile Australia’s leading ASX listed small, mid and large caps as well as some of the country’s most successful CEOs and business leaders to find out what makes them tick.

Every day you will find fresh content covering:

Fast Facts

Over 4,000 articles published

Over 2.3 Million Page Views and counting

Over 10,000 followers on social media

Subscriber list growing by 2% monthly

Thanks for subscribing!