Viridian

Most financial results for cannabis companies in the second quarter of 2024 are here, and they are revealing some interesting trends. One of them is that U.S. multi-state operators (MSOs) are getting better at cutting costs and efficiency in the supply chain. It’s no surprise that MSOs have...

The panel “Who’s Winning In M&A? East Coast vs. West Coast (The Biggie-2Pac Dilemma)” took place at the Benzinga Cannabis Capital Conference in Florida, where industry experts shared their forecasts about trends in marijuana M&As. Scott Greiper, CEO and founder of Viridian...

Photo by CRYSTALWEED cannabis on Unsplash The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. The cannabis industry is rapidly becoming the largest consumer products industry in the world....

As debt raises continue to increase for large and smaller operators, Viridian has calculated an “effective cost” analysis to truly arrive at cost of capital for borrowers. Our calculation explicitly values all embedded options including convertibility and any warrant coverage. We also...

The graph displays total transaction consideration for U.S. and Canadian M&A transactions since 2019.  In the first half of 2019 the U.S and Canada were closely matched with approximately $2.1 billion of total consideration.   From the 2nd half of 2019 through 2020,...

The graph shows total equity capital raised by private companies (green bar) as a % of total equity raises during the first 20 weeks of each year. The orange line shows the average private equity deal size. Private companies account for less than 1/2 as much of dollars raised YTD in 2021...

The blue bar in the graph shows the percentage by which 4th quarter 2020 EBITDA exceeded consensus analyst estimates as reported by FactSet for each of the seven top MSOs that have reported. The orange line shows the next day percentage change of the stock price less the percent change of the...

The graph compares the price of a basket of large MSOs that are well covered by cannabis research analysts to the price of a basket of smaller less-covered MSO/SSOs for YTD 2021. The smaller, less-covered companies are more volatile, generally rising faster in up markets and declining faster...

The graph shows cannabis capital raises by country (chiefly USA & Canada) and by type (debt vs equity). The green bars depict equity capital raises, brown bars depict debt raises, and red bars depict all capital raises by companies headquartered outside of the U.S or Canada. The $4.3...

The Viridian Cannabis Deal Tracker is an information service that monitors capital raise and M&A activity in the legal cannabis industry. Each week the Tracker analyzes/aggregates all closed deals and allocates each transaction to one of twelve key industry sectors in which the deal occurred (...

In recent weeks, the largest U.S. Cannabis companies have raised record amounts of equity capital, significantly boosting liquidity. The graph displays Enterprise Value/Consensus 2021 EBITDA estimates for 36 U.S. Cannabis companies in the Viridian Value Tracker database, ranked by size and...

The graph demonstrates a generally positive impact on the stock price of the Buyer in cannabis M&A transactions and this gain seems to relate to the size of the transaction. Cannabis investors appear to favor transformational sized deals that exceed 50% of the pre-transaction asset size of the...

The Viridian Cannabis Deal Tracker is an information service that monitors capital raise and M&A activity in the legal cannabis industry. Each week the Tracker analyzes/aggregates all closed deals and allocates each transaction to one of twelve key industry sectors in which the deal occurred (...

This chart shows the percent change in the stock prices of the 5 largest U.S. and Canadian cannabis companies by market cap from the market close on January 4, 2021 (the day before the Georgia senate election) to January 8, 2021 (3 days after the election).  Unexpectedly, the large...

Since Q3’2019 we have been commenting that the U.S. would become the main target region for cannabis company acquirers. We looked back through the Viridian Cannabis Deal Tracker and here are the numbers --  U.S. cannabis companies accounted for over 90% of M&A consideration in the...