Weekly Deal Watch: Cannabis Brands And Hemp Firms Become Takeover Targets

This weekly series from Marijuana Business Daily and Viridian Capital Advisors provides the latest data on cannabis investment activity and M&A, along with key takeaways, analysis and trends based on recent market moves.

The data below, provided by Viridian Capital Advisors, is through the week ended Feb. 22.

Capital raise highlights:

Innovative Industrial Properties (NYSE: IIPR), a cannabis industry-focused real estate investment trust, closed a $144 million raise – capital it plans to use to purchase properties to lease back to marijuana operators. “As more investors come in that don’t want to touch the plant, they could be more open to this type of real estate investment opportunity,” said Harrison Phillips, vice president with Viridian Capital Advisors.
Boston-based Ascend Wellness Holdings, a multistate vertically integrated marijuana operator, closed a $55 million funding round – capital the firm will use to expand in its home state of Massachusetts and other markets, including Ohio. “Massachusetts’ adult-use market operators continue attracting capital due to more near-term growth prospects,” Phillips noted.

M&A highlights:

Green Thumb Industries (CSE: GTII) of Chicago closed its acquisition of Los Angeles-based For Success Holding Co., owners of the Beboe product line of premium cannabis and CBD-infused products. The all-stock deal, the value of which was not disclosed, underscores growing demand among branded product companies by larger operators looking to boost their product portfolios, Phillips said. “Local and regional brands that are differentiating themselves are generating a lot of interest and remain attractive for acquisition,” he said.
After the passage of the U.S. Farm Bill, hemp and CBD companies continue to be top acquisition targets as underscored by two recent deals:
- GNCC Capital’s $120 million acquisition of BioCann Pharma, a CBD oil producer and distributor with offices in Colombia and Burlington, Ontario, Canada.
- Youngevity International’s $16 million acquisition of Florida-based Khrysos, a manufacturer of hemp-based CBD extraction equipment.

Viridian Capital Advisors is a financial and strategic advisory firm that provides investment banking, M&A, corporate development and investor relations services to emerging growth companies and qualified investors in the cannabis sector.

Original Article Source: https://mjbizdaily.com/brands-hemp-firms-takeover-targets/

Comments

Mormon Church Faces Potential Lawsuit Over Medical Marijuana Opposition

Political committees concerned with marijuana law reform in four states have waged an information war over the past year, first to qualify cannabis initiatives for the ballot, and then to support or oppose those measures in the lead-up to last week’s midterm elections. In total, over $12.9 million in cash and in-kind services was spent attempting to convince voters about these marijuana ballot measures. Now that voters have had their say, Marijuana Moment decided to calculate how much each “yes” and “no” vote cost the committees on either side of the debate. Our calculations are based on dollars raised and disclosed before the election, since final totals of actual expenditures won’t be available until December or January reports required in the states that voted on cannabis. Michigan In Michigan, where voters approved marijuana legalization , our calculations show that the two anti-legalization committees spent about $1.28 per “no” vote, as they raised $2.37 million for ...

Could CBD Lead To The Development Of Safer Antipsychotic Medications?

Antipsychotic medications are important for managing a number of different psychiatric ailments, including bipolar disorders, schizophrenia, and even dementia. These drugs can greatly improve the manageability of symptoms that often distort one’s experience of reality. They can also create major mood disruptions and lead to a number of behavioral and emotional difficulties. Antipsychotic and anti-psychosis medications can be life-changing for people with such disorders, enabling them to live more normal and manageable lives without their symptoms taking over. These drugs work by regulating neurotransmitters in the brain so that naturally occurring imbalances and dysfunctions no longer disrupt mental and emotional processes. Often, reaching this outcome is much easier said than done; it can take a lot of time to find courses and combinations of treatments that work. It’s sometimes necessary to make adjustments to find the right balance for the individual and it’s not unusual for outc...

NY Dem Chair Warns Against Passing Voter-Supported Marijuana Legalization Bill

The head of New York’s Democratic Party said on Thursday that if the state Senate votes on a marijuana legalization bill, his party’s lawmakers run the risk of alienating voters and losing reelection next year. Jay Jacobs, the state party chairman, claimed that several “far progressive” measures, including cannabis legalization, lack popularity in certain areas across the state such as Long Island and upstate New York. He cautioned lawmakers against putting the issue to a vote, arguing that voters would “throw us out of office.” “It could be the straw that breaks the camel’s back,” he told Newsday. Polling doesn’t support that conclusion, though. According to a March 2019 survey from Quinnipiac, 65 percent of New Yorkers are in favor of allowing adults to legally possess cannabis for personal use. That includes 63 percent of respondents in upstate New York and 65 percent of those living in the suburbs. Sixty-six percent of independents statewide also back ending marijuana prohibit...

Norma Pence

Search This Blog