These 6 companies will win the Canadian marijuana space, says M Partners
M Partners analyst Mason Brown says the Canadian marijuana legalization experience will be a “rollercoaster ride”, but says a few companies are poised to reap the lion’s share of the benefit.
In a special report, Brown said the beer industry is the best way to look at the way distribution of recreational cannabis in Canada.
“We view the beer industry in Canada as the best representation of the potential distribution model for recreational cannabis and that understanding the beer industry is critical to evaluating the opportunities and risks facing the Canadian LPs,” says the analyst. “In Canada, advertising, pricing, mark-up, warehousing, distribution, and sale of beer are regulated at the provincial level. Similarly, the Task Force (TF) has recommended that wholesale and retail sales of cannabis to be regulated by the provinces.”
The analyst says the landscape will be a complex one that will take a deft touch to navigate....
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