As cannabis market softens, some investors pulling back
Companies overpaid for assets in the run-up to raising capital, and now those Canadian companies are recalibrating
The Gleaner (Jamaica)
Sunday, May 24, 2020
Sunday, May 24, 2020
Aurora, a Canadian listed cannabis company, has sold its Jamaica asset for less than its CDN$4.5 million valuation in order to get cash. “The company also accepted an offer to sell its Jamaica property for gross proceeds of CDN$3.4 million,” said Aurora in a market filing. The property in Jamaica was idle but would have formed the base for its local operations. Across the local sector, sales between licensed dealers in Jamaica – for instance, farmers selling to herb houses – have been falling. The CLA has issued some 60 licences since October 2017 and 15 export authorisations to seven licensees since November 2018. All licensees that have applied to export cannabis have been granted export authorisations.
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