Canadian cannabis producer Cronos Group Inc. yesterday became the first cannabis company to be publicly traded on the NASDAQ Composite stock index. The company was already listed on the TSX Venture Exchange in Canada, under ticker symbol “MJN” and trades over-the-counter as “PRMCF.” The ticker symbol will be “CRON” on NASDAQ.
“This up listing to NASDAQ is a major corporate milestone and reflects the significant progress we have made in strengthening our corporate governance and expanding our global footprint,” said Mike Gorenstein, CEO of Cronos Group in a press release. “We believe this will increase long term shareholder value by improving awareness, liquidity, and appeal to institutional investors.”
In Canada, Cronos Group owns and operates two cannabis production facilities, Ontario-based Peace Naturals Project, Inc., and British Columbia-based Original B.C. Ltd. Global operations include developing production and distribution platforms through Cronos Australia and Cronos Israel, in addition to an exclusive distribution contract that supplies more than 12,000 pharmacies in Germany.
Despite federal prohibition in the U.S., Cronos becomes a forerunner for what American investors anticipate will be a billion dollar legal cannabis market–one that many are eager to access.
In Canada, legalization has led to a robust “green rush” for stock indexes and investors, as companies like Cronos, Aurora Cannabis, and Aphria Inc. have already achieved billion dollar valuations.
Cronos Group (CRON) was trading up more than 9 percent this morning on NASDAQ, at $8.36.