Canada’s largest weed producer has expressed interest in listing on the Nasdaq at some point in the future. The announcement comes on the heels of another Canadian licensed weed producer Cronos Group, which became the first-ever weed company to list on a major U.S. stock exchange earlier this week.
According to a note by Beacon Securities analyst Vahan Ajamian, Canopy Growth Corporation CEO Bruce Linton made clear his intention to list on the Nasdaq at an Economic Club of Canada lunch Thursday afternoon in Toronto, adding that Canopy had in already been preparing to list on the exchange since October 2017.
That plan was temporarily shelved “as the deal with Constellation Brands Inc. was heating up, and to not introduce any complications to completing it,” wrote Ajamian.
“Now that the Constellation partnership is fully up and running, listing on the Nasdaq seems to be back on the front burner for the company.”
"What I like about the Nasdaq is they basically do not have a pot policy," Linton told VICE Money. "If you follow all the rules you are welcome on their exchange."
Linton claimed he has no schedule or timeline as of yet to list on the Nasdaq, but he hoped "to be on it sometime."
Last fall, Canopy struck a massive deal with alcohol giant Constellation Brands, which acquired a 9.9 percent minority stake in the weed company, cementing the interest of mainstream corporate America in Canada’s budding legal cannabis landscape.
No specific date was provided for a listing, wrote Ajamian, but his team at Beacon Securities expects to see it happen in the second fiscal quarter of 2018.
Cronos Group, which listed on the Nasdaq on Monday has seen its shares soar by more than 30 percent in the last three days.
“We believe this development could act as a major catalyst for Canopy’s shares,” wrote Ajamian.
Canopy stock was trading at $28.37 as of 2:30pm today, a 3.7 percent bump since Wednesday.
This piece has been updated to reflect comment from Canopy Growth.