Will Falling Pot Stocks Keep Companies From Going Public?
The cannabis industry's recent struggles are not only impacting publicly traded companies, but also those looking to list on North American exchanges as well. It's another potential consequence of investors being very bearish on cannabis stocks lately, and that could be bad news for the industry.
One such company, Breath of Life International, is delaying its planned IPO this year because it's concerned that the market is just not strong enough. The stock was expected to be one of the bigger cannabis IPOs to hit the market, and was supposed to go public on the Toronto Stock Exchange, becoming the first Israeli-based company to do so. With sights set on the Canadian, European, and Australian markets, the company looks to be a big player on the international stage, and it expects to have a production capacity of 870,000 kg of dried cannabis by the end of next year.
While the company still plans to go public, recent developments have shelved that idea for the time being. In an interview with BNN Bloomberg, CEO Tamir Gedo said, "When the market is ready to be bullish, we'll go ahead immediately."
Source Fool.com
