Cronos (CRON) - Get Cronos Group Inc. Report will exit its investment in medical marijuana company Whistler Medical Marijuana and sell its 19% stake to Aurora Cannabis (ACB) - Get Aurora Cannabis Inc. Report .
Aurora will pay about C$175 million for the stake with Cronos receiving about 2.5 million Aurora common shares worth an aggregate value of about C$24.6 million and another C$7.6 million upon reaching certain milestones.
"We'd like to thank and congratulate Whistler for their partnership over the past two years," said Mike Gorenstein, CEO of Cronos Group. "Whistler's commitment to creating high-quality products and establishing a premium brand has generated value for consumers and investors alike. We are proud to have been part of their growth and look forward to their progress through this venture."
Cronos group shares were up 0.75% in trading while Aurora shares are down 0.13%.
Whistler offers users 15 strains of marijuana and 18 types of CBD oil. The company said that its philosophy is to "grow organic medical cannabis, in soil without the use of chemicals."