Canada-based hemp products company Blue Sky Hemp Ventures has divested its hemp food division to Fresh Hemp Foods for an undisclosed amount.
Through the acquisition, Blue Sky aims to concentrate on its cannabis extracts and contract manufacturing operations.
Founded in 1998, Fresh Hemp Foods is a North American leader in hemp ingredients.
The company is a key player in the global hemp ingredients market, offering products like hulled hemp seeds, hemp protein, hemp flour, and hemp seed oil.
Blue Sky aims to use the proceeds to expand its manufacturing services, including vape pens, pre-rolls, and softgels, building on its expertise in topicals and oils.
Blue Sky Hemp Ventures CEO Andrew Potter said: “Thanks to a differentiated strategy and disciplined execution, Blue Sky has delivered two consecutive years of positive EBITDA and net earnings—an uncommon achievement in this sector.
“After strong growth in both our food and cannabis divisions, we reached a strategic crossroads.
“With limited physical space and capital, we concluded that monetising our successful hemp food business would allow us to better scale our cannabis operations and drive long-term shareholder value.”
Established in 2017, Blue Sky operates a 15,000ft2 cannabis processing facility in Saskatoon, Saskatchewan.
After completing its expansion in December 2024, the company became one of Canada’s largest independent extractors, processing around 20,000kg of dry cannabis flower monthly.
Currently, Blue Sky focuses on its two primary divisions: bulk cannabinoid extraction and contract manufacturing.
The sale of the hemp food division will support Blue Sky’s efforts to achieve EU-GMP certification, opening new global opportunities for bulk extracts and finished products.
The company is expected to strengthen its position in the cannabis industry with its expanded manufacturing capabilities.
Potter added: “Although we had limited resources, our team successfully built a high-growth, EBITDA-positive food business over the last few years.
“I’m incredibly proud of our product innovation, particularly our refined hemp seed oil—an excellent example of our ability to cost-effectively develop new products.
“This spirit of innovation will continue to drive our cannabis operations. We’re confident the purchaser of our food operation will take this food business to the next level, and we look forward to supporting them.”
