Article by Alexandra Posadzki, Waterloo Region Record
Canada’s marijuana industry could benefit after at least six states representing twice the population of Canada voted in favour of legalizing the drug, either recreationally or medically.
Voters in California, Massachusetts, Nevada and Maine approved on Tuesday the use of recreational cannabis, joining four other states and Washington, D.C., that have similar laws in place.
Florida, North Dakota and Arkansas approved medical marijuana, which would bring the total number of states with such a system to more than two dozen.
Shipping marijuana into the U.S., whether for medical or recreational purposes, is illegal. But the CEO of Privateer Holdings, a U.S.-based private equity firm that focuses on investing in the marijuana sector, says he expects Canadian producers will enter into partnerships and joint ventures with their neighbours to the south following the referendums.
“I think you’ll see Canadian companies jump at the opportunity to expand their operations and brands into the United States,” says Brendan Kennedy, whose firm owns Nanaimo, B.C.-based licensed producer Tilray.
That could mean everything from participating in the production process to providing consulting services or licensing intellectual property to U.S. producers, Kennedy says.