Deal flow in the cannabis capital markets begins 2017 slow due to winter and New Year holidays. While few deals closed, numerous announcements were released about deals in progress.
Summary for the Week Ended January 6, 2017
- Announcements: 14
- Capital Raises: 7
- M&A Transactions: 6
- Dual-Listing: 1
- 2017 begins with slow week of closed deals, mainly due to slowdowns related to winter holidays and New Year’s celebrations.
- Numerous announcements related to capital raises and M&A deals in progress points to continued activity in cannabis capital markets.
- Newly-public Canadian licensed producer, Emblem Corp. (TSXV: EMC), announced a C$10.0 million bought deal financing that it subsequently increased to C$13.9 million.
- Spinoff transaction shows continued trend towards cannabis companies chasing public market valuations.
Capital Raises
- Kaya Holdings, Inc. (OTCQB: KAYS) received $150,000 through the issuance of convertible notes to a prior investor.
- United Cannabis Corp. (OTCQB: CNAB) received $35,000 through the issuance of a convertible note to Tangiers Global as part of its commitment fee for the increased funding agreement.
Week Ended 1.6.17 – Capital Raises by Sector
Mergers & Acquisitions
- We did not track a cannabis M&A deal closing this week, though many announcements have been made regarding deals in progress.
Week Ended 1.6.17 – M&A Deals by Sector
Summary of Year-to-Date (YTD) Transactions
Capital Raises
- We have tracked 2 capital raises totaling $185,000.
- Public versus Private:
- Public companies: 2 raises totaling $185,000
- Private companies: 0 raises totaling $0
- Equity versus Debt:
- Equity: 0 raises totaling $0
- Debt: 2 raises totaling $185,000
YTD Capital Raises by Week
YTD Capital Raises by Sector
Mergers & Acquisitions
- We have tracked no closed cannabis M&A transactions thus far in 2017. We expect deal flow to pick up in mid-January.
YTD M&A Deals by Week
YTD M&A Deals by Sector
Transactions by Sector for Week Ended January 6, 2017
Capital Raises
Biotech/Pharma
Arena Pharmaceuticals Form 8-K Detailing Equity Distribution Agreement
InMed Pharmaceuticals, Inc. Announces Non-Brokered Private Placement of C$1,000,000
Cultivation & Retail
Maple Leaf Receives Stage 5 Notice
Emblem Corp. Announces C$10 Million Special Warrant Bought Deal Financing
Emblem Corp. Announces Upsize of its Previously Announced Bought Deal Financing to C$13.9 Million
Kaya Holdings Form 8-K Detailing Financing Agreement
Infused Products & Extracts
Tangiers Global Doubles its Commitment to $10 Million for United Cannabis Corporation
Mergers & Acquisitions
Agriculture Technology
Indoor Harvest Corp and Alamo CBD Enter Into Discussions to Combine and Ultimately Create Medical Cannabinoids Pharmaceutical Group
Infused Products & Extracts
Laguna Continues to Work Towards a Definitive Agreement with Carlsbad
Sylios Corp. Announces Record Date for Spin-Off of The Greater Cannabis Company, LLC
Miscellaneous Ancillary
Turbine Truck Engines, Inc. to Acquire Novo Healthnet Ltd.
Dual-Listing
Cultivation & Retail
Maple Leaf Co-Lists on OTCQB
To Learn More About the Viridian CANNABIS DEAL TRACKER Contact:
Harrison Phillips
Viridian Capital Advisors, LLC
(212) 485-0284
[email protected]
* Viridian Capital Advisors and its affiliates, as well as their respective partners, directors, shareholders, and employees may have a position in the securities mentioned herein and may make purchases and/or sales from time to time. Viridian Capital Advisors, may act, or may have acted in the past, as a financial advisor, fiscal agent, or underwriter for certain of the companies mentioned herein and may receive, or may have received, a remuneration for their services from those companies.
About the Viridian CANNABIS DEAL TRACKER
The Viridian CANNABIS DEAL TRACKER monitors capital raise, mergers & acquisition, joint venture, and licensing activity for both public and private companies in the legal cannabis industry across 12 key sectors, including Agriculture Technology, Biotech/Pharma, Consulting Services, Consumption Devices, Cultivation & Retail, Hemp, Investments/M&A (Holding Companies), Infused Products & Extracts, Miscellaneous Ancillary, Physical Security, Real Estate, and Software/Media.
Leveraging more than 3 years of data that’s been collected, segmented, and analyzed, the CANNABIS DEAL TRACKER supports smart decision-making by providing sector-specific actionable intelligence and trend analysis in regard to issuers, investors, acquirers, valuations, deal structures, and deal terms.
The above information whether in part or in its entirety neither constitutes an offer nor makes any recommendation to buy or sell any securities.
About Viridian Capital Advisors, LLC
Viridian Capital Advisors is a financial and strategic advisory firm dedicated to the cannabis market. We provide market intelligence, investment banking, investor relations, and corporate development services to emerging growth companies and qualified investors in the cannabis sector. Our banking practice, through broker-dealer Pickwick Capital Partners, provides capital and M&A to fund the growth of our clients, while our advisory practice helps to position and build their businesses. Our team’s decades of high level operating and transactional experience on Wall Street in a variety of emerging sectors, allows Viridian to provide comprehensive strategic and financial solutions that assist cannabis enterprises in realizing their full potential.
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