Article by Deja Leonard, Lift News
Cronos Group, a major Canadian cannabis holding company, has been approved to begin trading their shares on the Nasdaq stock market. While the company is already listed on the Toronto Stock Exchange, it will be the first ever cannabis company to be listed on an American stock exchange.
Investors will be able to trade Cronos shares under the symbol ‘CRON’ as early as tomorrow (Feb. 27, 2018), according to a statement. The company will continue to be listed on the Toronto Stock Exchange under the symbol ‘MJN’.
Management says the Toronto-based company spent six months conducting preliminary work before applying for listing this year.
“It’s a huge milestone and validation of our model,”says Mike Gorenstein, who has been the CEO of Cronos Group since May of 2016. “We focus a lot on making sure we do everything the right way and we’re excited to be a part of advancing the industry forward.”
The new listing could have a significant impact on American investors who were uneasy about investing abroad. While marijuana is still illegal federally in the U.S., the law does not prevent Americans from investing in foreign companies that are operating legally in their respective countries. Cronos is a fully licensed Canadian producer, serving only markets where cannabis is legal, and is not exempt from trading on U.S stock exchanges.
Growing facility in Israel
In partnership with an Israel-based kibbutz, Cronos will also be building a facility that will produce, manufacture and distribute medical cannabis locally and internationally.
The facilities are currently under construction and despite recent reports that Israel’s Prime Minister Netanyahu opposes cannabis companies’ plans to export, Gorenstein is confident everything is on track.
Historically, Israel has been a global leader in marijuana research and development, which he says will be advantageous to Cronos.