01/04/2018 03:49 EST | Updated 01/04/2018 04:00 EST

Aurora signs deal for European joint venture with greenhouse vegetable company

EDMONTON — Aurora Cannabis Inc. has signed a deal to form a joint venture with European greenhouse vegetable company Alfred Pedersen & Son (APS).

Under the deal, Aurora (TSX:ACB) will own a 51 per cent interest in Aurora Nordic Cannabis A/S, based in Odense, Denmark.

APS received its license to grow cannabis from Denmark's Medicines Agency effective Jan. 1.

The joint venture will focus on the cultivation and sales of cannabis in Denmark, Sweden, Norway, Finland and Iceland.

Aurora Nordic plans to build a 93,000-square-metre automated cannabis production facility.

Under the terms of the joint venture, the companies intend to fund construction through a combination of conventional, non-dilutive financing and direct investment by Aurora and APS.