Further to our prior post on FTI’s cannabis valuation primer, FTI has now published an update addressing developments resulting from Canada’s legalization of the production and sale of edible cannabis, cannabis extracts and cannabis topics, as well as the slower-than-expected growth of the Canadian cannabis industry.
Intranational, international, and even supranational regulatory issues can be a relevant component of cannabis valuation – perhaps more so than in more traditional businesses. Regulatory developments can be linked to increased, or decreased valuations, and the likelihood of future regulatory developments can call for increased analysis.