Cannabis Update September 2018

TL;DR

Ontario restricts retail licenses for licensed cannabis producers, Aurora Cannabis and Aphria make moves for premier US listings, and Tilray stock experiences unprecedented growth.

Transcript

I'm Charlotte with the investing news network and I'm here today with our cannabis reporter Brian we're gonna talk to you about what happened in the cannabis market during the month of September Brian we are very close to legalization it's finally coming up in Canada on October 17th what is the latest news from Ontario wallet Charlotte as you know ... Read More

Key Insights

• 🛀 Ontario's restriction on retail licenses shows a conscious effort to prevent monopolies within the cannabis market.
• ❓ Aurora Cannabis and Aphria's moves indicate their ambition to expand and establish a presence in the US market.
• 🤨 Tilray's unprecedented stock growth raises concerns about speculative trading and its impact on overall market stability.
• 😑 Experts have differing views on the consequences of the Tilray stock surge: some see it as a positive development, while others express concerns about trust in the industry.
• 🇨🇦 The upcoming legalization of cannabis in Canada on October 17th is highly anticipated and will significantly impact the market.
• 🖐️ Investors should closely monitor the effects of legalization in Ontario and how it may affect cannabis companies with retail plays.
• 👂 The emergence of cannabis-related companies listed on the Canadian Securities Exchange provides new investment opportunities.

Questions & Answers

Q: What is the purpose of Ontario limiting retail licenses for licensed cannabis producers?

Ontario's decision to limit retail licenses aim to prevent licensed producers from monopolizing the retail market and becoming retail leaders as well.

Q: Why did Aurora Cannabis and Aphria complete spin-offs and sales related to their US interests?

Aurora Cannabis and Aphria made these moves in order to seek premier listings on the Nasdaq or the New York Stock Exchange.

Q: What caused the significant increase in Tilray stock price?

Tilray's stock experienced rapid growth, increasing by 86.50% in a month, and reaching a price of $300 at one point due to its limited availability and high demand.

Q: What do experts say about the impact of Tilray stock's surge?

Some experts, such as Nick Easley and Alan Broxton, have differing opinions. Easley believes the surge may damage investor trust, while Broxton sees it as a positive development for the cannabis space.

Summary & Key Takeaways

• Ontario, the largest Canadian cannabis market, announces that licensed producers will be limited to one retail license in the province to prevent them from dominating the retail market.

• Aurora Cannabis and Aphria complete spin-offs and sales related to their US interests, seeking premier listings on the Nasdaq or the New York Stock Exchange.

• Tilray stock sees a massive surge in value, reaching $300 per share and creating concerns about its impact on investor trust.