Licensed producer Aurora has acquired medical cannabis patient outreach service CanvasRx in a $23 million deal.

A press release calls CanvasRx “the largest medical cannabis patient outreach service in Canada, currently serving 7,000 patients with 17 locations.”

Since the introduction of the MMPR regime, cannabis consulting centres, like CanvasRx, have attempted to bridge the gap between licensed producers and patients by using in house doctors to give medical approval for cannabis use.

Professionals will give a prescription-like “medical document” that details a patient’s grams per day and the period of use. Clinic staff will then complete the required licensed producer registration document on behalf of the patient and send it, along with the medical document, on to the specified licensed producers.

In a legal system that doesn’t allow licensed producers to advertise their products, exclusive deals with services like CanvasRx are one way to drive traffic.

Aurora CEO Terry Booth said the acquisition of CanvasRx will allow the cannabis producer to expand, with funds from the deal going toward “a major expansion of Aurora’s production capacity.”

On Jun. 8, Aurora detailed an agreement with Canaccord Genuity Corp. for $15 million in cash that would help fund the acquisition and expansion plans.

The release details that a second, much larger, Aurora production facility in Alberta already has advanced plans ready.