Kanabo to be Europe's biggest public cannabis business after takeover

London-listed marijuana business Kanabo (KNB.L) has struck a deal that it says will make it Europe's biggest publicly traded cannabis company.

Kanabo said on Monday it had agreed terms to buy the European operations of Canada's Materia, a cannabis processor and supplier. Exact terms weren't disclosed but Kanabo said the deal would be paid for through shares and subject to performance-related goals.

"The only part that we’re not involved in now in the supply chain is cultivation," Kanabo's chief executive Avihu Tamir told Yahoo Finance UK. "Our belief is that cultivation will be a commodity like other agricultural products. We believe the value is in the last mile."