Laval’s ProMetic Life Sciences Inc (TSX: PLI) has officially closed its acquisition of Montreal-based Telesta Therapeutics Inc (TSX: TST) in an effort to shift itself into a major Canadian player in biopharmaceuticals. Through the acquisition, ProMetic also now gains a strong foothold in the Ontario market.

Telesta is a company focused on the acquisition and development of therapeutics for cancer and other diseases. ProMetic is a global biopharmaceutical corporation that supplies technologies for “bioseparations,” or separating the products of a biochemical reaction without damaging the organisms concerned. The company develops its own plasma-derived therapeutics and small-molecule therapeutic products targeting typically unmet medical needs.

ProMetic said the deal will provide $34 million in cash to be deployed towards its drug development and clinical programs, while adding a150,000 sq. ft. facility in Belleville, Ontario to the company’s arsenal.

“ProMetic represents a balanced, low-risk, high-reward opportunity as we are getting ready to launch our first plasma-derived therapeutic, plasminogen, in mid-2017,” said ProMetic’s CEO, Pierre Laurin.

“Closing this transaction is both strategically and tactically significant for ProMetic,” added the company’s COO, Bruce Pritchard. “It brings cash which extends our operating runway; a small group of key personnel who are highly complementary to our existing staff; tax losses to be used going forward; and a facility in Belleville that could add quickly to our existing manufacturing output. It also widens our trans-Canadian footprint, positioning us as a major supplier of plasma proteins to the Canadian market.”

The deal was first announced in August, according to PEhub’s Kirk Falconer, but took until this month to close.

Founded in 1999, Telesta previously raised US$28.6 million from American venture capital investors last year. ProMetic has previously raised a whopping $60 million from Thomvest Seed Capital.