InterCure Ltd (NASDAQ: INCR) has announced plans to buy a United States-focused cannabis company with state-of-the-art AI-integrated cultivation systems.
The Israeli marijuana producer revealed its pending acquisition of Herzliya-based Botanico Ltd or “ISHI” in a news release on Sept. 19.
InterCure says the takeover will be beneficial because of the valuable partnerships that ISHI has established. Notably, Botanico currently collaborates with the established Florida and New York distributor The Flowery.
“The acquisition provides us with immediate access to [The Flowery’s] award-winning genetics,” said InterCure.
ISHI is being paid with 4.9 million InterCure shares. The deal is expected to close during the first quarter of 2026.
InterCure is hoping that Donald Trump’s recent discussions about rescheduling the plant will materialize into a concrete decision in the near future. Should cannabis become a Schedule III substance, industry profitability in the United States could jump up substantially.
“By acquiring ISHI, we gain immediate access to some of America’s most sought-after cannabis genetics and proven operational technologies at exactly the moment when we are encouraged by the reported recent momentum in the U.S. around potential cannabis rescheduling,” said InterCure CEO, Alexander Rabinovich.
InterCure has been recovering financially since its primary cultivation facility in southern Israel was severely damaged during the Hamas-led attack on Oct. 7, 2023. Thankfully for InterCure, the Israeli government provided the company with US$21.3 million in war compensation as part of a broader effort to support businesses damaged by the attack and ensuing Gaza conflict.
During the 2024 calendar year, InterCure reported adjusted EBITDA totalling US$6.24 million. As of Dec. 31, the cannabis cultivator held US$20.8 million in cash. In Q1, 2025, InterCure observed sequential revenue growth exceeding 25 per cent at over US$18.2 million.
The company currently operates 24 medical cannabis dispensaries throughout the State of Israel.
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