Multi-state cannabis operator Curaleaf Holdings (CSE:CURA) dropped in value following its debut in the Canadian public market on Monday (October 29).
Curaleaf, formerly Lead Ventures, completed a business combination with Curaleaf and raised approximately C$520 million to start raising capital in Canada.
The company made its debut on the Canadian Securities Exchange (CSE) under the ticker symbol “CURA” on Monday. Set at an initial offering price of C$11.45, the stock opened at C$8.70.
At market closure on Monday, the stock declined to C$7.30. The exchange indicated the stock reached a day high of C$10.79.
Curaleaf holds a presence in Arizona, Connecticut, Florida, Maine, Maryland, Massachusetts, Nevada, New Jersey, New York and Oregon.
The company boasted its ownership of 28 cannabis dispensaries, 12 cultivation facilities and 9 processing sites across the US.
Boris Jordan, executive chairman for Curaleaf, told Reuters the company was surprised by the demand and attention it had earned.
“Being one of the larger players in the US, there was a lot of attraction in investing in a company that has a multi-state footprint,” Jordan said.
Following the legalization of adult-use of cannabis in Canada, investors have turned their attention to the US market as the next potential booming area for the sector.
Cannabis investors are able to obtain exposure into the US by investing in multi-state operators with assets in legal cannabis states.
These companies, if public, have turned to the favorable Canadian public sector to raise capital through the CSE.
This exchange, unlike the TMX Group ones, doesn’t restrict cannabis operations in a country where the drug remains illegal on a federal scale.
“We remain committed to growing our business through aggressive organic growth and the strategic deployment of capital into accretive acquisitions that extend our brand into the most attractive US markets,” Joseph Lusardi, CEO of Curaleaf, said in a company statement.
The US play has gained steam as a leading play in the cannabis public market as more companies make public debuts to take advantage of the markets’ interest in the sector.
Acreage Holdings announced a reverse takeover to take its stock into the CSE. The company similarly manages assets in legal cannabis states.
Acreage made headlines by adding ex-political figures, such as former Canadian prime minister Brian Mulroney and former Speaker of the United States House of Representatives John Boehner, to its board of directors.
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Securities Disclosure: I, Bryan Mc Govern, hold no direct investment interest in any company mentioned in this article.
CanBud Distribution Corporation Closes 2M Second and Final Tranche of its Oversubscribed Private Placement Offering
CanBud Distribution Corporation (CSE: CBDX) (FSE: CD0) (“CanBud” or the “Corporation”) is pleased to announce that it has closed the final tranche of its oversubscribed non-brokered private placement for aggregate gross proceeds of approximately $4,730,000 (the “Offering”).
The Corporation issued a combined total of 39,409,346 units (each a “Unit“) at price of $0.12 per Unit, with each Unit comprised of one common share in the capital of the Corporation (each a “Common Share“) and one common share purchase warrant (each a “Warrant“). Each Warrant entitles the holder to purchase one additional Common Share at an exercise price of $0.22 within 24 months of the closing of the Offering (the “Warrant Term“), provided, however that if the closing price of the Common Shares on the Canadian Securities Exchange (the “CSE“) (or any such other stock exchange in Canada as the Common Shares may trade at the applicable time) is $0.25 or greater per Common Share for a period of five (5) consecutive trading days at any time after the closing date of the Offering, the Corporation may accelerate the Warrant Term such that the Warrants shall expire on the date which is 30 days following the date a press release is issued by the Corporation announcing the reduced warrant terms.
Thoughtful Brands Inc. (CSE:TBI)(FSE:1WZ1)(OTCQB:PEMTF) (the “Company” or “Thoughtful Brands) announces that the letter of intent with Franchise Cannabis Corp. (“FCC”), previously announced in January, has been terminated. The previously announced European joint venture with FCC will continue and allow the Company to launch and tailor its products to European consumer demands
In connection with termination of the merger transaction with FCC, the Company has agreed to pay FCC $100,000 in cash and to issue FCC 5,000,000 common shares of the Company at a deemed value of $0.05 per share. The common shares will be subject to a four-month-and-one-day statutory hold period in accordance with applicable securities laws.
Mergers and acquisitions (M&A) in cannabis space have helped boost the industry to new levels.
Strategic sale of non-core assets by Lobe adds non-dilutive capital and shareholder value
Lobe Sciences Ltd. (CSE: LOBE) (OTC Pink: GTSIF) (“Lobe” or the “Company”) is pleased to announce, further to its press release dated February 23, 2021, that it has completed the sale to Ionic Brands Corp. (“Ionic Brands”) of Lobe’s non-core cannabis assets relating to Washington-based Cowlitz County Cannabis Cultivation Inc. (“Cowlitz”) held by Lobe’s subsidiary vendor, Green Star Biosciences Inc. (the “Transaction”).
Seattle Area Grocery Chain Metropolitan Market to Begin Carrying KOIOS and Fit Soda on March 22, 2021
Adding to its existing presence on the west coast of the United States, all five KOIOS™ flavours and all four Fit Soda™ flavours will be carried in Metropolitan Market stores beginning on Monday, March 22, 2021. Serving the Seattle-Tacoma area (population 3.87 million), Metropolitan Market is one of five chains under its parent firm Good Food Holdings, which has a total of 51 stores in California, Oregon, and Washington State.
Koios Beverage Corp. (CSE: KBEV; OTC: KBEVF) (the “Company” or “Koios”) is pleased to announce that beginning on Monday, March 22, 2021, Koios’ entire line of canned beverage products will be sold at all locations of Metropolitan Market, an urban format supermarket chain in the Seattle-Tacoma area of Washington State. In Q1 2021, the Company announced multiple placements of its beverage products with regional grocers in markets on the west coast of the United States including Market of Choice in Oregon Jensen’s in Southern California and major natural grocery chain Sprouts Farmers Market which has a substantial west coast presence with over one third of its locations (360+ stores across 23 states) in California as well as Washington State 1 . The Company has also recently announced other developments relating to its expansion efforts being undertaken in 2021 such as an in-house beverage canning facility and distribution agreements with regional and national wholesale partners.