Canada's largest publicly traded marijuana company says it has made "numerous process and personnel changes" at its newly acquired Mettrum Health operations that will prevent a repeat of last year's product recall.
Prior to the friendly takeover, Mettrum announced a product recall in November after Health Canada discovered the company had used a pesticide with an undisclosed ingredient that's not approved for use in Canada for use on medical cannabis.
Canopy Growth Corp., which announced its Mettrum takeover in December and closed the deal on Jan. 31, issued an open letter Thursday telling customers that "a recall like this will never happen again."
Canopy CEO Bruce Linton said use of unregistered pest control products was "inexcusable", but added that Health Canada had determined the pesticide wasn't likely to cause any adverse health consequences.
He said Canopy bought Mettrum to increase its production capacity to meet growing demand for medical marijuana products and other potentially other products for non-medical uses.
Linton's letter to Mettrum customers repeated previous assurances to analysts that Mettrum's practices would be brought in line with those at Canopy's Tweed and Tweed Farms operations, which Linton said have never been the subject of a product recall.
"This has already resulted in numerous process and personnel changes, and will be followed by infrastructure modifications," Linton said.
"Mettrum has work to do to regain customer and physician confidence. I believe we have a team in place that is up to the challenge."