Canadian hashish producers Aleafia Health and Aphria have settled a dispute over a supply deal gone fallacious.

In 2018, Emblem Cannabis signed a deal in  which Aphria would offer 175,000 kilograms (38,580 kilos) of hashish over 5 years, starting in May 2019.

Emblem was subsequently acquired by Aleafia.

Aleafia canceled the settlement in August 2019, saying Aphria had failed to fulfill its supply obligations.

The settlement introduced Thursday is price 29.1 million Canadian {dollars} ($21.3 million), together with CA$15.5 million in money and $10 million price of Aphria shares, in response to a news release.

All claims associated to the supply settlement are being launched, and arbitration proceedings have been dismissed.

“The settlement agreement is fair and satisfactory to both parties and allows Aleafia Health to move forward with a significantly strengthened balance sheet,” Aleafia CEO Geoffrey Benic stated in a press release.

Aphria trades as APHA on the Nasdaq and the Toronto Stock Exchange.

Aleafia trades on the Toronto Venture Exchange as ALEF.

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