Canada’s publicly listed pot firms worth $31B look for more opportunities abroad

After a whirlwind trend of consolidation at home, more Canadian marijuana companies are looking for opportunities abroad.

The National Post reported that countries like Spain, Italy, and Colombia are likely the “next growth opportunities” for Canadian companies following the recent key consolidation movement by marijuana firms at home.

On Monday, the Canadian marijuana industry saw its largest deal to date when Aurora Cannabis Inc. agreed to acquire MedReleaf Corp. for $2.9 billion.

Dan Daviau, chief executive officer of Canaccord Genuity Group Inc., the leading Canadian investment bank in the sector, told the National Post that these recent mergers and acquisitions have given the companies the scale to start looking internationally for growth.

Canada now has 90 publicly listed marijuana companies worth $31 billion.

One of the perks enjoyed by Canadian firms is having the right cost of capital and industry knowledge to add value,  Daviau said.

Canada, the first developed nation and the second country after Uruguay to legalize marijuana, is increasingly emerging as a safe haven for foreign cannabis investment.

For instance, Los-Angeles-based MedMen Enterprises has raised $50 million in subscription receipts last month in Canada ahead of its planned reverse takeover of Vancouver-based Ladera Ventures Corp.