Yongji Health takes over Tasmanian Botanics

A Chinese group has taken over the medical cannabis business, Tasmanian Botanics, after being a part-owner.

Yongji Health has acquired the remaining 53 per cent of Pijen, the holding company that owns 96.5 per cent of Tasmanian Botanics.

The transaction is valued at around $31 million AUD, with the group having previously owned 45.6 per cent of Tasmanian Botanics.

Yongji Health is the parent company of Phytoca and a subsidiary of Shanghai Stock Exchange-listed Guizhou Yongji Printing.

The group bought the Pijen securities from Tasmanian Botanics founders Marlene Anne Fehlberg, Rodney David Fehlberg, and Tony Alan Fehlberg.

According to the company’s filings, Rodney and Tony Fehlberg will each receive about $13.77 million from the sale and Marlene Fehlberg about $3.47 million.

Tasmanian Botanics operates at Pontville, just outside of Hobart, and has been running since 2017.

It is Australia’s largest medicinal cannabis cultivator and harvests around 100,000 plants each year.