Cannabis Insiders Gear Up for M&A and Financing Deals
Post-election gains are generating excitement and renewed interest.
May 17, 2021 at 11:04 AM
9 minute read
Sander C. Zagzebski, Member, Clark Hill. Courtesy photo It often feels as though years working in the cannabis industry are like "dog years," since so much has happened in such a comparably short period of time. It was barely 2 1/2 years ago, after all, on Aug. 15, 2018, that Constellation Brands, Inc., the Fortune 500 beer, wine and spirits company, announced that it had agreed to invest $5 billion CAD (approximately USD $4 billion) in Canopy Growth Corp. kicking off a euphoric period of cannabis transactions. A few weeks later in October 2018, MedMen Enterprises announced its agreement to purchase PharmaCann at a $682.0 million valuation, by far the largest acquisition to date of a U.S.-based cannabis company. Announcements of other significant transaction agreements quickly followed, including the public listings of several large U.S.-based MSOs (multistate operators) on the Canadian Securities Exchange (CSE) and Altria's USD $1.8 billion investment in Cronos in December 2018. In April 2019, a number of record-breaking M&A deals were announced in rapid succession, including Cresco's USD $823.5 million acquisition of Origin House, Harvest's planned USD $850 million acquisition of Verano, Curaleaf's USD $948.8 million acquisition of Cura Partners, and Acreage's plan of arrangement with Canopy giving Canopy the option (and the requirement upon federal cannabis legalization) to purchase Acreage in a transaction then valued at $3.4 billion.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View All
Cannabis Took a Hit on Red Wednesday, but Hope Is On the Way
How Municipalities Crush Rogue and Regulated Intoxicants
Why Cannabis Testing and Labeling Standardization Is Long Overdue
Law Firms Mentioned
Trending Stories
- 1Carol-Lisa Phillips to Rise to Broward Chief Judge as Jack Tuter Weighs Next Move
- 2Data Breaches in UK Legal Sector Surge, According to ICO Data
- 3Georgia Law Schools Seeing 24% More Applicants This Year
- 4After Shutting USAID, Trump Eyes Department of Education, CFPB
- 5‘Keep Men Out’: Female Swimmers Sue Ivy Leagues Over Lia Thomas’ Sweep
Who Got The Work
J. Brugh Lower of Gibbons has entered an appearance for industrial equipment supplier Devco Corporation in a pending trademark infringement lawsuit. The suit, accusing the defendant of selling knock-off Graco products, was filed Dec. 18 in New Jersey District Court by Rivkin Radler on behalf of Graco Inc. and Graco Minnesota. The case, assigned to U.S. District Judge Zahid N. Quraishi, is 3:24-cv-11294, Graco Inc. et al v. Devco Corporation.
Who Got The Work
Rebecca Maller-Stein and Kent A. Yalowitz of Arnold & Porter Kaye Scholer have entered their appearances for Hanaco Venture Capital and its executives, Lior Prosor and David Frankel, in a pending securities lawsuit. The action, filed on Dec. 24 in New York Southern District Court by Zell, Aron & Co. on behalf of Goldeneye Advisors, accuses the defendants of negligently and fraudulently managing the plaintiff's $1 million investment. The case, assigned to U.S. District Judge Vernon S. Broderick, is 1:24-cv-09918, Goldeneye Advisors, LLC v. Hanaco Venture Capital, Ltd. et al.
Who Got The Work
Attorneys from A&O Shearman has stepped in as defense counsel for Toronto-Dominion Bank and other defendants in a pending securities class action. The suit, filed Dec. 11 in New York Southern District Court by Bleichmar Fonti & Auld, accuses the defendants of concealing the bank's 'pervasive' deficiencies in regards to its compliance with the Bank Secrecy Act and the quality of its anti-money laundering controls. The case, assigned to U.S. District Judge Arun Subramanian, is 1:24-cv-09445, Gonzalez v. The Toronto-Dominion Bank et al.
Who Got The Work
Crown Castle International, a Pennsylvania company providing shared communications infrastructure, has turned to Luke D. Wolf of Gordon Rees Scully Mansukhani to fend off a pending breach-of-contract lawsuit. The court action, filed Nov. 25 in Michigan Eastern District Court by Hooper Hathaway PC on behalf of The Town Residences LLC, accuses Crown Castle of failing to transfer approximately $30,000 in utility payments from T-Mobile in breach of a roof-top lease and assignment agreement. The case, assigned to U.S. District Judge Susan K. Declercq, is 2:24-cv-13131, The Town Residences LLC v. T-Mobile US, Inc. et al.
Who Got The Work
Wilfred P. Coronato and Daniel M. Schwartz of McCarter & English have stepped in as defense counsel to Electrolux Home Products Inc. in a pending product liability lawsuit. The court action, filed Nov. 26 in New York Eastern District Court by Poulos Lopiccolo PC and Nagel Rice LLP on behalf of David Stern, alleges that the defendant's refrigerators’ drawers and shelving repeatedly break and fall apart within months after purchase. The case, assigned to U.S. District Judge Joan M. Azrack, is 2:24-cv-08204, Stern v. Electrolux Home Products, Inc.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250
