Oversupply means few companies are looking at making any purchases, even at these prices.
The pace of dealmaking in the already embattled cannabis sector is expected to slow even further, industry watchers say, as companies and investors retreat from risk amid recent turmoil in the equity markets.
“Obviously when you have this level of macro pullback, it always affects risky industries like cannabis the most,” said Aaron Salz, a principal at the boutique investment firm Stoic Advisory Inc.
“I’m seeing it in real time for sure. Groups that were prepared to jump in on deals have walked away for the time being. It’s risk-off right now.”
– Read the entire article at Financial Post.