CannaLife Looks to Roll up Major U.S. Brands to Drive Value for Investors
The emergence of the legal cannabis industry is one of the most exciting opportunities in decades and is a trend that has been gaining considerable traction on the global level.
The last two years have been very significant for the legal cannabis industry and Canada has been at the forefront. Although the Canadian cannabis market represents a significant opportunity, the market is comprised of several multi-billion-dollar companies and is a more mature market.
When compared to Canada, the United States cannabis market is much less mature and this makes it a more exciting opportunity. The United States cannabis market is fragmented and is currently structured on a state-by-state basis. The opportunity for brands in the United States is very attractive and we have watching leading cannabis brands secure distribution in several burgeoning markets in the United States.
Earlier this year, we came across a company that is focused on acquiring leading cannabis brands and find this to be an attractive model in the United States. The company, Cannalife Capital Corp. is in the early stages of a major growth cycle and is focused on investing in or acquiring premium cannabis and wellness brands.
The company is led by a management team with a proven track record of success in the cannabis industry. The team has been focused on building a deal pipeline and has been targeting high profile cannabis companies.
Although Cannalife has not provided any insight into the companies they are in discussions with, this is a fluid situation and cannabis investors should be keeping an eye on this emerging opportunity.
From New York to California, from Florida to Nevada, there are several burgeoning cannabis markets in the United States and Cannalife is targeting brands that have leverage to these markets. The California cannabis market is the largest legal cannabis market in the world and we expect to see Cannalife make significant investments in this market.
From a product standpoint, the United States market is far more advanced and mature than the Canadian cannabis market as consumers are looking for products besides flower. During the last few years, demand for smokeless products, especially edibles, has seen incredible growth and this is a trend that we expect to see play out on a global level.
Many consumers in the United States are looking to purchase products that fit their lifestyle and resonate with them. During the last year, we have conducted due diligence and have found cannabis products in the United States that are meant to help you when you are active, are meant to help you during sleep, are meant to help you during sex, and so on!
As you can see, consumers in the United States enjoy a variety of smokeless cannabis products and the segmentation in the domestic cannabis market creates significant opportunities for companies such as Cannalife.