Canada. Growing stock-market interest in cannabis-related industries is causing investors to think long and hard. Laws in North America are becoming more and more weed-friendly and some investors have realised that this means there will be some small companies destined to become very big ones.
The excitement surrounding the industry is visible: When a Wall Street Journal article discussing Medbox Inc., which offers medical-marijuana licence consulting and secure dispensing machines, was published last week, the company’s stock, which trades over the counter, shot from $4 (U.S.) to more than $200. Shares quickly fell down to $20 – its founders issued a press release to temper investor expectations after its market cap grew to more than a $1-billion.
November 20th 2012