Buyer Beware For Distressed Cannabis Assets

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Summary

In the last year, 13 special-purpose acquisition companies (SPACs) have listed on exchanges with an eye towards “cheap cannabis assets.”Cheap cannabis assets (or distressed cannabis assets) can offer a lowered barrier to entry into what many still believe to be a bull market. Accordingly, buyers of distressed cannabis assets will want to take a close look at potential successor liability risks on a state-by-state basis. These are just some of the hurdles potential investors and lenders may need to scale when looking at buying distressed cannabis assets. Can Anyone Buy Or Invest In Distressed Cannabis Assets? It is thus critical for potential investors to do their pre-due diligence on the who, what, when, where and how of acquiring distressed cannabis assets.

Article PreviewThese are just some of the hurdles potential investors and lenders may need to scale when looking at buying distressed cannabis assets. But as with anything else that’s up for sale, where there’s a will, there’s a way. 17 April 2020  Cannabis Industry Journal  Publication Authors: Joanne Molinaro Geoffrey S. Goodman Ronald S. Eppen The legalized cannabis industry remains a budding market in the United States. As the legislative dominoes...

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