Tilray Climbs on News of Deal with Germany's Hormosan

The two companies will use their expertise to expand Tilray's presence in the German market.
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Shares of Tilray  (TLRY) - Get Report were climbing Wednesday morning after the cannabis company said it had entered into a co-promotion agreement with German pharmaceutical firm Hormosan.

Shares of the Canadian company were climbing 6.13% to $8.56.

Hormosan will support Tilray in its marketing and sales activities of full spectrum cannabis extract in Germany, Tilray said in a statement, and the two companies will use their expertise to expand Tilray's presence in the German market.

Hormosan is primarily focused on pain therapy and neurology and is part of the Lupin Group, an international entity that sells innovative drugs and generics, Tilray said. 

"With Hormosan we have gained a partner that has excellent expertise and contacts in the field of pain therapy and neurology and will thus significantly increase the visibility of Tilray's full-spectrum cannabis extracts in the future," said Sascha Mielcarek, Tilray's managing director in Europe. "This will give physicians and patients even better access to our medical cannabis extracts while supporting our goal of contributing to improved care for patients with medical cannabis."

Shares of other cannabis companies, such as Canopy Growth  (CGC) - Get Report, Cronos Group  (CRON) - Get Report, and Aurora Cannabis  (ACB) - Get Report were all advancing.

Shares of ETFMG Alternative Harvest ETF  (MJ) - Get Report, the largest marijuana ETF, were up 1.44% to $15.22 on Wednesday morning.

Marijuana stocks saw their shares rise last month after President Donald Trump said his administration would cooperate in the transition to Joe Biden’s presidency.

Pot-stock buyers view Biden as more lenient in his marijuana policy than Trump was. “We should decriminalize marijuana,” Biden said in an ABC Town Hall last month, Marijuana Moments reported.