Two of the largest dispensary chains in Washington State combined for a joint sale; Cannabis biotech firm launches $50M+ secondary public offering; Cannabis data analytics firm raised growth capital.
Summary for the Week Ended January 20, 2017
- Announcements: 18
- Capital Raises: 9
- M&A Transactions: 5
- M&A and Going-Public Transaction: 1
- Capital Raise and M&A: 1
- Joint Venture: 1
- Stock Listings: 1
- Year-over-Year:
- Capital Raises: 4 capital raises closed this week for a total of $6.1 million compared to 6 raises closed for a total of $2.1 million this week last year
- M&A Transactions: 2 deals were closed this week compared to 2 deals closed this week last year
- Two of the largest cannabis retail chains in Washington State, Unkle Ike’s and Main Street Marijuana, combined in an attempt for the sale of both companies.
- Zynerba Pharmaceuticals, Inc. (NasdaqGM: ZYNE) announced and priced a $50.4 million underwritten secondary public offering of shares for continued clinical progression of its ZYN002 and ZYN001 drug candidates, for R&D, for and for general corporate purposes.
- Canopy Growth Corp. (TSX: CGC) acquired the 42-acre property that currently houses its headquarters and Tweed’s cultivation facility as Canadian licensed producers continue to invest in capacity in preparation for anticipated recreational market.
- Australia-based AusCann Group Holdings Ltd. was acquired by TW Holdings Ltd. (ASX: TWH) to become a publicly traded company, continuing the trend of cannabis companies seeking liquidity and capital on public stock exchanges.
Capital Raises
- Headset, Inc. raised $2.5 million to build out and scale its data and market analytics platform.
- Tokyo Smoke completed its C$3.0 million Series A funding round for product development, management team expansion, and international expansion purposes.
- InMed Pharmaceuticals, Inc. (CSE: IN) closed a C$1.5 million non-brokered private placement for general working capital purposes.
- Arcturus Growthstar Technologies, Inc. (CSE: AGS) closed on C$255,399 in the second tranche of its private placement for general working capital purposes.
Week Ended 1.20.17 – Capital Raises by Sector
Mergers & Acquisitions
- TW Holdings Ltd. (ASX: TWH) closed its acquisition of AusCann Group Holdings Ltd. as part of AusCann’s plan to become a publicly traded company on the Australian Stock Exchange.
- Canopy Growth Corp. (TSX: CGC) acquired the 42-acre real estate property at 1 Hershey Drive that currently houses Canopy Growth’s headquarters and the Tweed, Inc. production facilities to prepare for scaling up production capacity.
Week Ended 1.20.17 – M&A Deals by Sector
Summary of Year-to-Date (YTD) Transactions
Capital Raises
- We have tracked 13 capital raises totaling $14.0 million.
- Public versus Private:
- Public companies: 11 raises totaling $9.2 million
- Private companies: 2 raises totaling $4.8 million
- Equity versus Debt:
- Equity: 9 raises totaling $11.3 million
- Debt: 4 raises totaling $2.7 million
YTD Capital Raises by Week
YTD Capital Raises by Sector
Mergers & Acquisitions
- We have tracked 5 M&A transactions.
- 5 deals by public companies
- 0 deals by private companies
YTD M&A Deals by Week
YTD M&A Deals by Sector
Transactions by Sector for Week Ended January 20, 2017
Capital Raises
Agriculture Technology
Arcturus Proposes Name Change to Future Farm Technologies and Closes Oversubscribed Financing for C$550,399
Biotech/Pharma
InMed Pharmaceuticals, Inc. Closes Non-Brokered Private Placement for C$1,500,000
Zynerba Pharmaceuticals Announces Proposed Public Offering of Common Stock
Zynerba Pharmaceuticals Announces Pricing of Public Offering of Common Stock
Cultivation & Retail
Tokyo Smoke Raises C$3 million in Series A Funding
Alliance Growers Increases Private Placement, Amends Pricing of Stock Options
Investments/M&A
CannaRoyalty Announces C$15.0 Million Bought Deal Financing
Software/Media
Jerrick Media Holdings Issues Convertible Notes
Headset Announces $2.5 Million In Financing; Ramps Up Services to Cannabis Clients
Mergers & Acquisitions
Cultivation & Retail
Two of Washington’s Largest Recreational Marijuana Chains on the Selling Block
Canopy Growth Triples Tweed’s Production Potential by Acquiring 1 Hershey Drive
Investments/M&A
Invictus MD Announces Binding LOI to Acquire PlanC BioPharm Inc., a Late Stage Applicant Under Health Canada’s ACMPR
Miscellaneous Ancillary
Digipath Enters into Letter of Intent to Acquire Clinical Lab Companies*
Real Estate
MJ Holdings’ Spin-off of Real Estate Assets into MJ Real Estate Partners
M&A and Going-Public Transaction
Cultivation & Retail
TW Holdings Completes AusCann Transaction
Capital Raise and M&A
Cultivation & Retail
Harvest One Launches C$15.0 Million Equity Raising
Joint Venture
Software/Media
WRAPmail, Inc. to Develop Cannabis Software System Through Joint Venture with HealthMax Group
Stock Listings
Investments/M&A
Liberty Leaf Begins Trading on the Frankfurt, Berlin, and Stuttgart Stock Exchanges
To Learn More About the Viridian CANNABIS DEAL TRACKER Contact:
Harrison Phillips
Viridian Capital Advisors, LLC
(212) 209-3086
[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 are a data- and market intelligence-driven firm that provides investment banking, M&A, corporate development, and investor relations 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.
