Little Green Pharma Ltd (ASX:LGP) has secured overwhelming shareholder approval from Cannatrek Ltd for its proposed acquisition scheme, advancing the transaction toward Federal Court approval and implementation by early May 2026.
- 96.15% of Cannatrek shareholders voted in favour of the scheme
- Federal Court hearing scheduled for 24 April 2026
- Scheme expected to become effective on 24 April and implemented on 1 May
- Acquisition will give LGP full ownership of Cannatrek
- LGP operates major medicinal cannabis facilities across Europe and Australia
Shareholder Approval Secures Key Acquisition Step
Little Green Pharma Ltd (ASX:LGP) announced that the proposed acquisition of 100% of Cannatrek Ltd’s issued capital has received strong support from Cannatrek shareholders. At the Scheme Meeting held on 10 April 2026, 96.15% of shareholders present and voting endorsed the scheme resolution, with 98.44% of total votes cast in favour. This level of approval surpasses the requisite majority needed to progress the transaction.
The scheme involves a court-sanctioned acquisition under Part 5.1 of the Corporations Act 2001 (Cth), whereby LGP will acquire full ownership of Cannatrek. The next procedural step requires Cannatrek to seek Federal Court approval at a hearing scheduled for 24 April 2026 in Melbourne. If the Court grants approval, the scheme will become effective on the same day upon lodgement of the Court orders with the Australian Securities and Investments Commission (ASIC).
Indicative Timetable and Implementation
Following Court approval, the scheme implementation is expected on 1 May 2026, when consideration securities will be provided to Cannatrek shareholders. The timetable includes key dates such as the LGP Shareholder Meeting on 22 April 2026 and the Scheme Record Date on 24 April 2026, which determines entitlements to the consideration securities. The company notes that these dates are indicative and subject to change depending on regulatory approvals and Court scheduling.
Little Green Pharma’s Managing Director Paul Long and Company Secretary Alistair Warren are overseeing the process, with the board authorising the release of this update. The acquisition aligns with LGP’s strategy to expand its footprint in the global medicinal cannabis market through vertical integration and geographic diversification.
Strategic Positioning in Medicinal Cannabis Markets
LGP operates three production facilities across Denmark and Australia, including the largest in Europe, and holds a significant market position as one of the top three suppliers in Australia and the largest supplier in France. The acquisition of Cannatrek is expected to enhance LGP’s presence in key European markets such as Germany and the UK, complementing its existing distribution network spanning over a dozen export markets.
This transaction follows recent developments where LGP updated the acquisition timetable and terminated a planned sale and leaseback of its Western Australian production facility, decisions that reflect ongoing adjustments to its operational and financial strategy. The scheme’s progress and timetable updates were detailed in a supplementary booklet issued in late March 2026, which confirmed continued board support and an independent expert’s positive assessment of the deal’s fairness and reasonableness.
These developments situate LGP to leverage its diversified revenue streams and scalable growth platform amid evolving regulatory environments in the medicinal cannabis sector. The acquisition’s completion will mark a significant milestone in LGP’s growth trajectory, subject to the Federal Court’s final approval.
Bottom Line?
The Federal Court hearing on 24 April will be pivotal in confirming the acquisition’s completion timeline and shaping LGP’s expanded role in the medicinal cannabis industry.
Questions in the middle?
- How will the integration of Cannatrek’s operations impact LGP’s production capacity and cost structure?
- What regulatory challenges could affect the timing or terms of the scheme’s implementation?
- How might LGP’s market positioning in Europe evolve post-acquisition amid competitive pressures?