Police said the arrests were made in the Derrymacash Road area.
The men, aged 32,36 and 59 are being questioned.
Police said that detectives from the Reactive and Organised Crime Branch, working in partnership with officers from Garda Siochana, arrested the men and seized suspected herbal cannabis with an estimated street value of £300,000.
The men arrested are currently in custody assisting police with their enquiries, the PSNI said on Friday night.
Commenting on the seizures, Detective Inspector Tom McClure said: “This joint proactive operation by PSNI and An Garda Siochana, investigating the activities of an organised crime gang, has taken a substantial amount of drugs out of circulation and reduced the harm they cause to communities.
“We are aware of the threat posed by illegal drugs and are determined to use every opportunity to take controlled drugs off the streets and to bring anyone involved in their sale, supply or distribution before the courts.
“I would appeal to anyone who has any concerns or information about illegal drugs to contact their local Police on the non-emergency number 101. Or, if someone would prefer to provide information without giving their details they can contact the independent charity Crimestoppers and speak to them anonymously on 0800 555 111.”