Make War & Buds It’s Easy If You Know How: Israel’s IM cannabis publish another press release that says nothing about drones but actually its all about military drones

It’s all very murky but hopefully you’ll get the jist.

I think of it like this video except when you finally open it the gift is a lovely military drone that can kill all these kids.

So yes some cannabis people are beyond awful too.

The plant taught them nowt.

A Google precis gives a little more insight.

IM Cannabis Corp. has completed the sale of IMC Holdings and its European-focused operations to an entity controlled by its CEO in a transaction designed to shed liabilities and improve its balance sheet. By offloading European subsidiaries and retaining its domestic Israeli medical cannabis operations, the company projects an approximate C$3 million improvement in shareholders’ equity. You can read more about IM Cannabis Corp. on their investor relations portal at IM Cannabis Corp..

Slil (registered as Slil.com Holding Ltd.) is a private corporate holding company. [1, 2]

Nature of its Business

The nature of Slil’s business is heavily rooted in the international medical cannabis industry. It serves as a specialized holding entity designed to absorb, manage, and operate commercial cannabis assets, primarily across Europe. [1, 2, 3]

Most notably, Slil acquired I.M.C. Holdings Ltd. (the international and European-focused branch of the publicly traded IM Cannabis Corp.). Through this landmark acquisition, Slil controls and operates major medical cannabis subsidiaries including: [1, 2, 3]

• Adjupharm GmbH: A licensed medical cannabis manufacturer and distributor based in Germany.
• Xinteza API Ltd.
• Shiran Societe Anonyme.

CEO and Leadership

• CEO / Owner: Oren Shuster. He is the founder, beneficial owner, and controlling force behind Slil.com Holding Ltd.. [1, 2]

The Board of Directors

Because Slil is a private holding company exclusively owned and controlled by Oren Shuster, it does not operate with a large public board of directors. It was structured primarily as a private acquisition vehicle for Shuster (who simultaneously serves as the CEO and director of the public entity IM Cannabis Corp.) to buy out and manage the European cannabis operations independently.

But what about the drones…. I hear you ask?

The divestiture of IM Cannabis Corp.’s (IMCC) European assets to Slil and its sudden entry into the tactical drone sector represent a coordinated corporate restructuring strategy. [1]

By offloading its European operations to Slil, IM Cannabis cleared significant liabilities, unlocked liquid capital, and repositioned itself to execute two distinct business pivots: maximizing its core domestic medical cannabis operations while branching directly into defense technology. [1, 2, 3, 4]

1. Retained Israeli Medical Cannabis Operations

Prior to finalizing the sale of IMC Holdings to Slil on September 29, 2026, IM Cannabis executed a strict pre-closing reorganization. This maneuver carved out and legally insulated its core Israeli operations, transferring them back to the parent public entity. [1, 2, 3]

The retained infrastructure remains the foundational backbone of IMCC’s cannabis ecosystem: [1]

• Import and Distribution Network: Operating through specialized local subsidiaries, the company continues to source and deliver medical cannabis to authorized patients in Israel, leveraging years of proprietary clinical data and patient insights. [1]
• Retail and E-Commerce Footprint: IMCC retains direct ownership of its established brick-and-mortar medical cannabis retail pharmacies and proprietary online delivery platforms across Israel. [1]
• Concentrated Strategic Focus: Management’s goal is to maximize cost-efficiency and cash flow from these localized Israeli assets, which no longer have to carry the financial drag or operational overhead of the underperforming German and European arms. [1, 2]

2. The Link: Slil, Capital Reallocation, and Drone Technology

The financial transaction between IM Cannabis and Slil directly facilitated IMCC’s entry into the unmanned aerial systems (UAS) market. The timeline and mechanics of the deal illustrate how the Slil transaction funded this defense-adjacent pivot: [1, 2]

Event Timeline (2026) Strategic / Corporate Action Financial & Capital Link

Aug 16 – 17 IMCC enters a definitive agreement to sell its European arm to Slil. Slil provides a C$3,000,000 cash advance to IMCC and assumes up to C$9.4M in liabilities.

Sept 23 IMCC signs a Letter of Intent (LOI) to enter the tactical defense drone market. Funded by the balance sheet repair from the Slil deal, IMCC targets a 51% controlling stake in Space Defense Innovations (SDI).

Sept 29 The transaction with Slil officially closes. Management projects a C$3 million improvement in shareholders’ equity, providing the financial headroom to close the defense transaction.

The Defense Acquisition Details

Through the cash and structural relief generated by Slil’s buyout, IM Cannabis is acquiring control of Space Defense Innovations LLC (SDI), a Polish company operating in the European tactical UAS market. [1, 2]

• Exclusive Distribution Rights: Through its subsidiary BlueAero Group Sp. z o.o., SDI serves as the exclusive reseller of BlueBird Aero Systems advanced tactical UAS and unique Hybrid Fixed-Wing Vertical Take-Off and Landing (VTOL) platforms in Poland and broader Europe. [1, 2]
• Future Manufacturing Capacity: Upon receiving necessary regulatory licensing, the deal positions SDI to transition from a reseller into a direct manufacturer of these defense-grade drone products. [1]

Ultimately, the money paid by Slil acted as the financial catalyst, transforming IM Cannabis from a pure-play, struggling international cannabis platform into a streamlined domestic medical operator backed by a high-growth European defense technology arm. [1, 2]

If you are evaluating this company from an investment perspective, would you like to review the specific risks regarding cross-industry integration outlined in recent filings, or look at how the Middle Eastern geopolitical environment is impacting their domestic Israeli cannabis supply chains? [1, 2]

But wait there’s more

Space Defense Innovations LLC (SDI) is a Polish limited liability company operating in the unmanned aerial systems (UAS) and defense sector. Originally founded in September 2025, the company is headquartered in Wrocław, Poland. [1, 2, 3]

The company recently made significant financial headlines following a high-profile cross-industry transaction:

🚁 Core Operations & Market Exclusivity

• Tactical UAS Reseller: Through its wholly owned subsidiary, BlueAero Group Sp. z o.o., SDI serves as an commercial reseller of advanced tactical unmanned aerial vehicles. [1]
• BlueBird Partnership: SDI holds exclusive rights in Poland to distribute BlueBird Aero Systems’ military-grade equipment, which includes hybrid fixed-wing Vertical Take-Off and Landing (VTOL) systems, loitering munitions, and 3D mapping platforms. [1]
• Manufacturing Expansion: Upon acquiring its necessary regulatory licenses, SDI intends to transition from a pure reseller into a domestic European manufacturer of these systems. [1, 2]

📈 Acquisition by IM Cannabis Corp (IMCC)

In September 2026, IM Cannabis Corp. (NASDAQ: IMCC), a prominent medical cannabis platform operating primarily out of Israel and Germany, announced a pivotal shift in corporate strategy by signing a non-binding Letter of Intent (LOI) to acquire a 51% controlling stake in Space Defense Innovations LLC. [1, 2]

• The Strategy: The acquisition serves as IMCC’s entry into technology-driven industries beyond medical cannabis.
• Financial Deal Structuring: IMCC will acquire the 51% stake using a mix of common shares, pre-funded warrants, and a 24-month seller loan backed by a €2.3 million on-demand line of credit. [1, 2]

The September 29 Press Release

IM Cannabis Announces Closing of the Sale of IMC Holdings and Its European-Focused Operations, Strengthens Balance Sheet

VANCOUVER, BC and GLIL YAM, Israel, Sept. 29, 2026 /PRNewswire/ — IM Cannabis Corp. (the “Company“) (NASDAQ: IMCC), today announced that, further to its press releases dated June 18, 2026 and August 17, 2026, it has completed the previously announced transaction contemplated by the definitive share purchase agreement dated August 16, 2026 (the “Share Purchase Agreement“) among the Company, Slil.com Holding Ltd. (“Slil“) and I.M.C. Holdings Ltd. (“IMC Holdings“), pursuant to which the Company sold to Slil all of the issued and outstanding shares of IMC Holdings (the “Transaction“). The Transaction closed on September 29, 2026 following satisfaction or waiver, as applicable, of the conditions to closing under the Share Purchase Agreement.

Prior to closing, IMC Holdings completed a pre-closing reorganization pursuant to which the Company’s Israeli operations were transferred out of IMC Holdings and retained by the Company. Following completion of the pre-closing reorganization, IMC Holdings held, as its only material assets, its direct or indirect equity interests in Adjupharm GmbH, Xinteza API Ltd. and Shiran Societe Anonyme (together, the “Target Subsidiaries“), together with certain liabilities that remained in IMC Holdings immediately prior to closing and continued to be obligations of IMC Holdings following Slil’s acquisition of IMC Holdings (the “Retained Liabilities“).

The Company expects the Transaction to improve its shareholders’ equity and working capital, reduce the liabilities reflected in the Company’s consolidated financial position that are associated with IMC Holdings, and streamline the Company’s corporate structure. Following completion of the Transaction, the Company intends to focus its resources on its retained Israeli medical cannabis operations while continuing to evaluate additional opportunities. Based on management’s current unaudited pro forma analysis, the Company expects the Transaction to result in an improvement of approximately C$3 million in shareholders’ equity. The actual accounting impact of the Transaction may differ from this estimate and will be reflected in the Company’s financial statements for the applicable reporting period.

The consideration for the Transaction consisted of a C$3,000,000 advance payment previously made by Slil to the Company, receipt of which is acknowledged in the Share Purchase Agreement, together with Slil’s acquisition of IMC Holdings with the Retained Liabilities remaining in IMC Holdings. Under the Share Purchase Agreement, the aggregate Retained Liabilities of IMC Holdings were not to exceed C$9,400,000, subject to adjustment by mutual agreement of the parties. This amount excludes direct liabilities of the Target Subsidiaries, to which the C$9,400,000 cap does not apply. No securities of the Company or IMC Holdings were issued or exchanged as consideration in connection with the Transaction.

In connection with the Transaction, the board of directors of the Company (the “Board“) established a special committee comprised solely of independent directors (the “Special Committee“) to review, consider and evaluate the Transaction. The Special Committee reviewed the terms of the Transaction and recommended that the Board approve the Transaction. Oren Shuster declared his interest in the Transaction and did not participate in or vote on its approval. In addition, Beta Finance T.Y.S Ltd., an arm’s-length financial consulting firm engaged by the Board, provided a financial analysis to assist the Special Committee and the Board in evaluating the Transaction.

Related Party Transaction and MI 61-101

The Transaction constituted a “related party transaction” within the meaning of Multilateral Instrument 61-101 – Protection of Minority Security Holders in Special Transactions (“MI 61-101“) because Slil is beneficially owned and controlled by Oren Shuster, the Company’s Chief Executive Officer, a director, securityholder and debtholder.

In connection with the Transaction, the Company relied on the financial hardship exemptions from the formal valuation requirement and minority approval requirement under sections 5.5(g) and 5.7(1)(e) of MI 61-101, respectively.

The Company relied on these exemptions on the basis that, among other things: (i) the Company was in serious financial difficulty; (ii) the Transaction was designed to improve the financial position of the Company; (iii) the circumstances described in section 5.5(f) of MI 61-101 were not applicable; (iv) the Board, acting in good faith, and at least two-thirds of the Company’s independent directors, acting in good faith, determined that paragraphs (i) and (ii) applied and that the terms of the Transaction were reasonable in the circumstances of the Company; and (v) there was no requirement, corporate or otherwise, to hold a meeting to obtain approval of the holders of any class of affected securities. Although the Company relied on the financial hardship exemption from the formal valuation requirement under MI 61-101, the financial analysis provided by Beta Finance T.Y.S Ltd did not constitute a “formal valuation” within the meaning of MI 61-101. Further details regarding the completion of the Transaction will be provided in a material change report to be filed by the Company in accordance with applicable securities laws.