$3 Billion Marijuana Merger in the Making: What It Could Mean for Marijuana Stocks
Look out, Canopy Growth Corporation (NASDAQOTH: TWMJF). Your reign as the pure-play marijuana stock with the highest market cap might not last for long.
On Tuesday, Aurora Cannabis (NASDAQOTH: ACBFF) announced that it had submitted a proposal to acquire all shares of another Canadian marijuana grower, CanniMed Therapeutics. Aurora is offering to buy CanniMed, which trades on the Toronto Stock Exchange, for $24 per share. If the deal goes through, Aurora thinks that the combined companies would likely claim a market cap of more than $3 billion, potentially bumping Canopy Growth from its perch as the largest pure-play marijuana stock on the market.
A merger of Aurora and Cannimed wouldn't just impact those two companies, though. It could have ripple impacts throughout the cannabis industry -- in Canada and across the world.
Source: Fool.com
