Marijuana stocks, including Tilray, Cronos Group, and Canopy Growth, surged as Vice President Kamala Harris expressed support for reducing federal regulation of marijuana in the U.S. and Germany passed a law to fully legalize the drug, set to take effect on April 1. This news, along with Canopy Growth's move to set up a Canopy USA holding company, drove stock prices up, with Tilray and Canopy Growth positioned to benefit the most from Germany's legalization.
Canadian cannabis company Cronos Group has confirmed that it is reviewing unsolicited indications of interest from potential buyers, but stated that it is still in the early stages of any possible deal. The company, backed by tobacco giant Altria, has received inquiries about a potential transaction involving Cronos. U.S. cannabis company Curaleaf Holdings is among the potential buyers. However, Cronos has made no assurances about any deal announcements. The potential merger talks come as the Canadian cannabis market faces oversupply and depressed stock prices, leading to potential consolidation in the sector.
