Cannabis companies are finding it tougher than ever to navigate the market
The industry is now in a situation where tens of companies are fighting for a much smaller pie than forecasted
Tuesday, June 2, 2020
Some of the biggest cannabis players when legalization took effect 20 months ago have successfully held on to their dominant positions, despite a year of bankruptcies, downsizings, revoked licences, executive firings, mass layoffs and a long market selloff. Licensed producers such as Aphria Inc. and Aurora Cannabis Inc., have increased their market share during the past few quarters due partly to strong sales of dried flower and cannabis 2.0 products such as edibles and vape pens, while Canopy Growth Corp.’s share has substantially eroded from its peak 18 months ago. Just a handful of companies or so hold more than 95 per cent of the legal Canadian market, according to company filings, interviews with cannabis analysts and data from cannabis intelligence firm Headset.
