Medical Cannabis Company Together Plans to List Subsidiary Cannabliss in North America

Tel Aviv-listed medical cannabis company Together Pharma Ltd. is planning to list its wholly owned subsidiary Cannabliss Ltd., the company announced Sunday. The company is planning a North American initial public offering at a company valuation of between $40 million and $50 million, with the roadshow scheduled for the first quarter of 2020, one person familiar with the matter told Calcalist on condition of anonymity. Together has a market capitalization of around $44.9 million.

Founded in 2009, Cannabliss develops and manufactures smoke-free cannabis products, such as oils, candies, and cookies. The company maintains a research and development cooperation agreement as well as a distribution center in conjunction with the Hadassah Ein Kerem hospital in Jerusalem. Together acquired the company in June for NIS 14 million (nearly $4 million).

As part of the preparation for the IPO, Together also announced Sunday that Citrine Cannabis GP of the Citrine Investment Group and Israeli accelerator and services company iCAN: Israel-Cannabis will make a joint investment of $900,000 in Cannabliss according to a company valuation of NIS 20 million ($5.67 million), in return for a 15% stake in the company.