OUR 9TH YEAR OF PROVIDING PROPRIETARY CAPITAL MARKETS INTELLIGENCE ON THE CANNABIS / HEMP / PSYCHEDELIC SECTORS
Equity Capital Raises
Equity Transaction Chart
Viridian publishes weekly data on equity capital raises in the Cannabis/CBD/Psychedelic industries. This data includes information about the company issuing equity (public/private, state/country location), deal size, deal structure, pricing, share information, deal implied valuation, and warrant information.
Week ended 06/30/2023
Week ended 06/30/2023
This Section is Only Available to Higher Tier Memberships
Please Purchase a Premium or Enterprise membership to see more.
Equity Commentary
Week ended 06/30/2023
The Week’s Largest Equity Transaction:
- On June 26, 2023, Ispire Technology Inc. (ISPR: Nasdaq), a $530M market cap designer, marketer, and distributor of branded e-cigarettes and cannabis vaping products, closed an $8M private placement of common stock.
- 117M shares were sold at $7.13 per share
- The transaction implies an EV/annualized revenue multiple of 3.57x considerable premiums to the 1.40x and 1.69x median and third quartile measures of the five consumption device companies in the Viridian Capital Value Tracker. The valuation seems high for a company with negative EBITDA and nearly 70% of sales from tobacco vaping products.
- Despite Ispire’s Nasdaq listing, the stock is quite illiquid, trading around $.5M per day with 951 days required to trade the market cap. Ispire is significantly less liquid than at least eleven U.S. MSOs that trade most of their volume on OTC. The low liquidity stems from over 70% insider ownership and low public float. Ispire purchases virtually all of its products from a Chinese company owned by Ispire’s Chairman & CEO.
Public vs. Private Raises:
- All four companies that raised capital this week are public. Three trade in Canada (two on CSE and one on TSX), and four trade in the U.S. (three on Nasdaq and one on OTC).
Equity vs. Debt Cap Raises:
- Equity accounted for two capital raises this week and 10.1% of the funds raised.
Week ended 06/30/2023
Additional content is available to Premium and Enterprise users. Please purchase a higher tier membership to see more.
Weekly Valuation Tracker
Viridian highlights a specific industry sector and provides a deep dive into valuation metrics and comparable company valuations for public companies operating in that sector. The Weekly Valuation Tracker provides proprietary, actionable valuation data.
- Week ended 06/30/2023
This week’s valuation tracker focuses on the 7 U.S. MSOs with market cap over $500M in the Viridian Value Tracker database in gauge the valuation impact of the 2nd earnings that have been released so far, Green Thumb (GTII: CSE), Curaleaf (CURA: CSE), and Trulieve.
- Week ended 06/30/2023
This Chart is Only Available to Higher Tier Memberships
Please Purchase a Premium or Enterprise membership to see more.
Additional content is available to Premium and Enterprise users. Please purchase a higher tier membership to see more.
This Chart is Only Available to Higher Tier Memberships
Please Purchase a Premium or Enterprise membership to see more.
Viridian publishes weekly insights on equity capital raises in the Cannabis/CBD/Psychedelic industries. These insights typically highlight the most interesting/meaningful equity transactions of that week, and commentary on market conditions, equity deal structures and investor groups.