Weekly Deal Watch: International, adult-use markets attract marijuana money

This weekly series from Marijuana Business Daily and Viridian Capital Advisors provides the latest data on cannabis investment activity and M&A, along with key takeaways, analysis and trends based on recent market moves.

The data below, provided by Viridian Capital Advisors, is through the week ended Feb. 8.

Top takeaways from this week’s capital raises:

• International hemp cultivation and product development operations continue to lure new investments. Toronto-based Canopy Rivers (TSX: RIV) completed a 9.4 million Canadian dollar ($7.1 million) equity investment in Canapar Corp., an Italy-based organic hemp production and processing platform. The investment follows Canopy Rivers’ CA$17.4 million capital infusion into Canapar late last year. The combined investments boost Canopy Rivers’ ownership of Canapar from 35% to 49%.
• Colombia-based Blueberries Cannabis Corp. (CSE: BBM) completed a private placement worth CA$8.8 million as part of its public listing on the Canadian Securities Exchange. The deal underscores the continued interest in Colombian operators that are “developing low-cost supply for international trade,” said Harrison Phillips, vice president at Viridian Capital Advisors.

M&A top takeaways:

• The land grab continued among U.S.-based multistate operators, with New York-based iAnthus Capital Holdings (CSE: IAN; OTC: ITHUF) closing its acquisition of MPX Bioceuticals in Ontario, Canada. The all-stock deal, valued at $625 million, propels iAnthus into the top five multistate operators with the largest footprints. The company now boasts a reach that includes 11 states with 63 retail licenses, including 18 operating dispensaries. That puts iAnthus just behind U.S. cannabis giants Green Thumb Industries (CSE: GTII), Acreage Holdings (CSE: ACRG.U), MedMen (CSE: MMEN) and Curaleaf (CSE: CURA).
• U.S.-based adult-use operators – including producers and retailers – continue to be top acquisition targets, with nearly a half-dozen deals logged just last week. Among them:
  • Vancouver-based C21 Investments closed its acquisition of Oregon-based cannabis producer Phantom Farms.
  • Denver-based Livwell Enlightened Health closed on an acquisition of Fort Collins-based Green Meadows Wellness.
  • Chicago-based Verano Holdings finalized its acquisition of Four Daughters Compassionate Care, a Massachusetts-based cultivator, producer and retailer.

Viridian Capital Advisors is a financial and strategic advisory firm that provides investment banking, M&A, corporate development and investor relations services to emerging growth companies and qualified investors in the cannabis sector.