Cronos Group Inc.'s shares (NASDAQ:CRON) were higher in pre-market trading after the Toronto-based cannabis company unveiled a cross-border joint venture with MM Enterprises USA LLC to develop branded products and open stores across Canada.
MM, known as MedMen Enterprises - a company with facilities in California, Nevada and New York - will join forces with Nasdaq-listed Cronos - which has a footprint in Germany, Israel and Australia.
The joint venture will be called MedMen Canada and comes just months ahead of Canada's plan to fully legalize cannabis for adult recreational use.
WATCH: Cronos Group first cannabis stock listed on Nasdaq
MedMen CEO and co-founder Adam Bierman said: “MedMen Canada will give us entry into an important emerging market for adult use and broaden our exposure worldwide.”
MedMen is planning to go public in Canada in the second quarter.
Cronos shares jumped 3.5% higher in pre-market Nasdaq trading to US$8.09.
In the regular session, they added over 11% to US$11.36 each.