September 26, 2023

PharmaCielo Buys Marijuana Farm, Nursery in Rionegro

Toronto, Canada-based PharmaCielo announced July 25 that it paid US$5 million plus 1.7 million in equity shares for a 27-hectares farm and greenhouse-nursery facility in Rionegro, Antioquia, for development of a medical-marijuana cultivation and processing plant.

“The 30-year-old turnkey facility houses an office building and more than 12 hectares of open-air greenhouses, along with all necessary equipment and infrastructure required to manage the nucleus of PharmaCielo’s strain genetics,” according to the company.

“The nursery and propagation center is capable of supplying more than 12 million mother-plant cuttings per week – the estimated number eventually required to support a planned 600-hectare contract cultivation and harvesting operation.”

Commenting on the deal, PharmaCielo CEO Patricio Stocker added: “The purchase of this fully operational ‘green’ nursery and propagation center, which includes a natural water reservoir, represents a significant milestone for PharmaCielo and demonstrates our commitment to developing a world-class facility that takes advantage of Colombia’s ideal growing conditions, operational experience and low-cost production environment.”

The Rionegro region is second only to the Sabana de Bogota in production of cut flowers in Colombia. “The area is home to thousands of hectares of self-sustainable open-air greenhouse operations staffed with highly experienced technical agriculture teams,” according to PharmaCielo.

“To make the switch from cultivating hundreds of varieties of cut and ornamental flowers to cultivating feeder stock cannabis flower to support our planned oil processing activities is not a difficult challenge for these experienced flower growers,” added Stocker.

“Now that we have acquired one of the most important components of our operating business model, which will serve as the supply source of all of PharmaCielo’s genetic strains, we will be fast-tracking the completion of security and other provisional modifications necessary to comply with government regulations. Once completed, we will be focusing our efforts on strain selection and related research activities that will enable us to maximize both cultivation and processing yields.”

To comply with Colombian government licensing requirements, the company is adding security enhancements to the nursery and farm, including “security fencing with fiber-optic cabling” around the perimeter.

PharmaCielo has also installed a drip-water feeding system for plant cuttings, updated nursery coverings, upgraded road-works, and improved office space for management and sales staff, according to the company.

Related Posts