Eric Volkman has no position in any of the stocks mentioned. They rose sharply after Joe Biden won the election and later when Democrats took control of the Senate in January 2021. These 3 industries could be completely disrupted by data analytics. The combined company is expected to have a strong, flexible balance sheet, cash balance and access to capital giving it the ability to accelerate growth and deliver attractive returns for stockholders, the companies said. Learn More. Marijuana stocks surge as NY Governor says state legalization is close. Essentially Aphria is acquiring Tilray because after the smoke clears and all the shares are exchanged, it's an all-stock transaction. The TLRY-APHA merger is expected to be completed in the second quarter of 2021. ca:apha Aphria shareholders will receive 0.8381 shares of TLRY stock for every one share of APHA stock they own. Canadian operators desperately need consolidation amid an ongoing supply glut. Nasdaq There's a lot of benefits to combining. Invest better with The Motley Fool. Adjusted EBITDA did rise modestly but thanks to a $4.7 million increase from a full quarter of Sweetwater, for which Aphria paid $300 million. Probably tells you something about Aphria too. Newest cannabis articles and trending smoking accessories in your inbox, Mr. Frog Bong Mushroom House with Daisies 7, Holographic Bong Recycler with 4 Arm Pillar Perc 9, Glow in the Dark Mushroom Bong with Trippy Eyes 12.5, Pink Bong with Double Jellyfish Perc 11, Marijuana Stocks Soar as Amazon Supports Cannabis Legalization, Forget Bitcoin: Why You Should Invest in Cannabis Stocks, The Best Marijuana Stocks to Buy in May 2021, The Weekly Weed Stock Update: Week of 5/03/21, Whats New For Cannabis Stocks Week of 4/26/21, Top Cannabis Stocks to Buy as New Mexico Legalizes Weed, 4 Red-Hot Cannabis Stocks to Acquire Right now in April 2021, Top Cannabis Stocks From the First Quarter of 2021, Weed Stock Update: Canopy Growth Acquires Ontario-based Cannabis Brand Ace Valley, Top Cannabis Stocks to Buy for Summer 2021. In an all-stock deal agreed to last December, each Aphria share held as of April 30 was swapped for 0.8381 of a Tilray share. Tilray would acquire Aphria and the new entity would trade under the "TLRY . On the date of publication, Vince Martin did not have (either directly or indirectly) any positions in the securities mentioned in this article. Merger Details The deal, should it be approved, will go as follows. The company says that the "new Tilray" will have synergies of over 100. 2023 TheStreet, Inc. All rights reserved. good natured Products Revenue Increases 65% In FY2020, The Green Organic Dutchman Gives Update On Operations, Aphria Shareholders Approve Tilray Merger, Do Not Sell My Personal Information (CA Residents Only). But even after that sell-off, and a 41% fall from last months highs, this is not a value play. Thats 40% of the pro forma total for both companies. Management might be correct. Unfortunately, at this point in the growth of Canadian cannabis, its pretty much impossible to take managements word for it (even though I do respect Aphria head Irwin Simon). Aphria's shareholders have already voted and approved the merger on April 15. Im not sure its sales are as valuable as those elsewhere in the business. Moreover, some might want to see if the proposed synergies actually do pan out, which could take some time. The merger between TLRY and APHA is a reverse merger where Tilray, which is the smaller company between the two, would acquire APHA. Net cannabis revenue plunged by nearly one-fourth quarter-over-quarter. Type a symbol or company name. The combined U.S. operations will focus on Sweetwater and Manitoba Harvest, which makes branded hemp and CBD products. Interestingly, it also amended the bylaws and said that the quorum requirement for the stockholder meeting would be one-third of the voting power. Some investors might want to wait to see if the merger goes through. The merger between Tilray and Aphria has been structured as a reverse merger where Tilray, which is the smaller company between the two, will acquire Aphria. Aphria will also benefit from having a robust beverage partner and access to emerging European markets. So basically we can consider it a reverse merger. Key details about the Aphria-Tilray merger. Why is it delayed and has it been confirmed? Hopefully, the merger will find more than 100 million CAD in synergies to make this company profitable. Another nice thing about this merger that shareholders in both companies should be happy about, it's a comprehensive company [together]. Under the terms of the agreement, Aphria will become a wholly-owned subsidiary of Tilray. Copyright 2023 Market Realist. OrganiGram Holdings 2Q Revenue Misses Estimates; Shares Plunge 10%, Aphrias 3Q Sales and EPS Miss Estimates; Shares Plunge 14%, Shaw Communications 2Q EPS and Revenue Beat Estimates, Do Not Sell My Personal Information (CA Residents Only). What's Next for Tilray Now That Its Merger With Aphria Is Complete? It was a juicy merger arbitrage opportunity that has since come down. As I noted previously, as a standalone company, APHA looks better placed compared to TLRY given its better financials and lower comparative valuation. The merger would be subject to regulatory approvals. These businesses have to start growing at some point. Why Aphria, OrganiGram Holdings, and Aurora Cannabis Rose Today, 3 Warning Signs From Aphria's Abysmal Earnings Report, Forget Aphria and Tilray: This Cannabis Merger Is Much More Promising, The IRS Is Urging Millions of Early Filers to Amend Their Tax Return, 1 Warren Buffett Index Fund Could Turn $100 Per Week into $1 Million, 2 Stocks That Could Join Apple, Microsoft, Amazon, and Alphabet in the $1 Trillion Club, Join Over Half a Million Premium Members And Get More In-Depth Stock Guidance and Research, Copyright, Trademark and Patent Information. Then the company deactivated his account. Relative to FY2021 (ending March) consensus estimates, Canopy Growth (NASDAQ:CGC) trades at about 20x EV/revenue, and Sundial Growers (NASDAQ:SNDL) an even higher multiple. The average analyst price target of $24.29 implies an upside potential of about 33% from current levels. TipRanks' multi-award winning platform ranks financial experts based on measured performance and the accuracy of their predictions so investors know who to trust when making investment decisions. They're going by trailing 12-month revenue and I don't know if going forward that's sustainable. apha Anytime a company, or companies, are in a position to cut down on that, to combine assets, to rationalize like that, that's a positive development. Part of the cause of the sell-off is that APHA got some draft from the Reddit rallies, even if it didnt move as high as did Tilray. I should mention, they're also quite active in international markets. Youre reading a free article with opinions that may differ from The Motley Fools Premium Investing Services. Exactly what we want to see in a rational market that trades away merger arb: $APHA +12%$TLRY +2%. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. The two Canadian cannabis giants had been in talks . 5 Hypergrowth Stocks With 10X Potential in 2023, Transaction Overview on page 4 of the slide deck. TipRanks' multi-award winning platform ranks financial experts based on measured performance and the accuracy of their predictions so investors know who to trust when making investment decisions. The spread has since narrowed to less than 2%. Using pro forma Adjusted EBITDA, even accounting for the cost savings, the combined companys multiple sits over 50x. Markets welcomed the news as a sign of consolidation in the. Article printed from InvestorPlace Media, https://investorplace.com/2021/04/tlry-stock-will-likely-fall-once-the-aphria-merger-is-approved-on-april-30/. On December 16, 2020, Tilray (TLRY) and Aphria (APHA) announced a merger that would create the largest marijuana company globally. This merger between these two cannabis firms will see Tilray become the biggest player in the sector globally. TipRanks is the most comprehensive data set of sell side analysts and hedge fund managers. Stephanie Bedard-Chateauneuf for Whats the TLRY-APHA merger date? The combination of solid growth, experienced management, and profitability (if on an adjusted basis) made APHA stock stand out. Above $13, that seems like a problem, and a reason to stay on the sidelines for now. Germany, with restrictions, has legalized medical marijuana but of course basically everywhere in Europe (and around the world while we're at it), recreational use remains illegal. The Tilray and Aphria merger has received regulatory approvals and APHA stockholders have also confirmed the merger. Learn More. The move was widely expected after Aphria shareholders voted in favor of a deal by a wide margin, with a total of 99.38% of shares voted approving it on April 14. At the same time, Im not sure its the best deal for Aphria, even if current APHA shareholders will own 62% of the combined company. In using this website you accept the terms of service and are responsible for complying with all laws and regulations, including applicable local laws. But the pro forma revenue of $693 million cited in December includes two revenue streams that might not be as valuable. All of the stocks that were pumped by WallStreetBets have fallen sharply from their peaks. Making the world smarter, happier, and richer. Aphria and Tilray agree to join forces, creating the worlds biggest marijuana production and distribution company with a combined value of nearly $4 billion. Type a symbol or company name. Action Alerts PLUS is a registered trademark of TheStreet, Inc. Take Charge of Your Money During our April Sale! Results for the fiscal third quarter (ending Feb. 28) were not promising on that front. Tilray ( TLRY) - Get Free Report and Aphria ( APHA) - Get Free Report said Monday they had completed their merger, creating the world's largest cannabis company by revenue . Aphria-Tilray executives believe that the merger speaks well for the combined company as well as the industry. Now that the deal is done, the hard part comes: Tilray 2.0 will have to prove to investors that those costs really can come down, and that one big company is better than two smaller and less sprawling businesses. 7 Sorry Pharma Stocks to Sell in April Before Its Too Late, Louis Navellier and the InvestorPlace Research Staff, 5 Penny Stocks With Explosive 5X Potential, Another Rare Bullish Indicator Flashed Last Week, 7 Stocks to Sell in April Before They Crash and Burn, Mullen Files to Resell Up to 2.1 Billion Shares of MULN Stock. By using stonersrotation.com, you agree to these terms before purchasing from this website. Investors found the prospect of a Tilray-Aphria merger exciting. Aphria and Tilray Join Forces in Cannabis-Infused Mega Merger. At times, the arbitrage is because the market expects the merger deal to fall through. Meanwhile, Tilrays current CEO and Chairman will be one of the new companys board of directors. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. *Average returns of all recommendations since inception. Cost basis and return based on previous market day close. The cost savings will also lead to considerable improvements to the bottom line for the new company. The pro-form enterprise value of the company is listed at $3.9 billion. Tilray Marijuana stocks rallied as high as 27% when it announced its agreement to enter into a merger with Aphria just before Christmas. Aphria has agreed to acquire U.S. craft beer company Sweetwater Brewing, which makes cannabis-infused beverages, and Tilray is a partner of Anheuser-Busch InBev. According to executives from both Aphria and Tilray, the merger is targeted at cost savings and creating synergy. Also, in SPACs, there can be significant arbitrage between the common stock and the warrants. Corinne Cardina has no position in any of the stocks mentioned. Under the terms, Aphria shareholders receive 0.8381 of a Tilray share for each common share of Aphria. +2.93% 2023 InvestorPlace Media, LLC. You'll now be able to see real-time price and activity for your symbols on the My Quotes of Nasdaq.com. 1125 N. Charles St, Baltimore, MD 21201. As I had noted previously, the massive arbitrage wasn't sustainable. Here's The Marijuana Stock You've Been Waiting ForA little-known Canadian company just unlocked what some experts think could be the key to profiting off the coming marijuana boom. Say hello to what has become, at a stroke, a dramatically larger marijuana company: the new version of Tilray ( TLRY). This merger can be considered as a light shining at the end of an unpredictable year like 2020. (See Tilray stock analysis on TipRanks). However, for the merger to be confirmed, it would have to be approved by TLRY stockholders. The company will continue to trade on the Nasdaq Global Select Exchange under the symbol "TLRY" and will commence trading on the Toronto Stock Exchange under the symbol "TLRY" on May 5. Eventually, on the merger date, APHA stocks would get converted to TLRY stocks based on the merger ratio. The combined company also will be a leader in cannabis-infused drinks. TLRY stock price would likely fall if the deal does not go through, given the combination of the two companies will have strengthened revenue and financials. Aphria said that the reverse-acquisition of Tilray was approved by 99.38% of the shares represented at its shareholders' meeting. They have lots of growing assets, they are active in every consumable product category including the so-called Cannabis 2.0 products in Canada which are derivatives like extracts, there's also beverages, marijuana-infused beverages. Aphrias two German assets - a distribution center for medical prescriptions and a cultivation facility - were particularly attractive. And one under-the-radar Canadian company is poised to explode from this coming marijuana revolution. The year-to-date gains in particular look a bit questionable. Cannabis legalization is sweeping over North America 15states plus Washington, D.C., have all legalized recreational marijuana over the last few years, and full legalization came to Canada in October 2018. Uber reversed its decision and reactivated the driver after being contacted by MarketWatch. December saw Tilray and Aphria announce that they will merge, creating the world's biggest cannabis company by revenue in the process. All rights reserved. A deviation in stock prices can lead to merger arbitrage. Balsky is bullish on the business and expects progress from the government to legalize marijuana at the federal level. TipRanks->. SweetWater Brewing makes a product called 420 Strain, 420 of course being not-so-secret code for marijuana. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. There will also be significant. Last week, BofA Securities analyst Heather Balsky initiated coverage of the stock with a Buy rating and a $23.00 price target (26.2% upside potential). But yeah, the combined company is going to be called Tilray, they claim they are the largest global cannabis company in the world but that's a little bit fudging things. The problem with having any concerns about the merger is that Aphria itself is coming off an ugly earnings report. Tilray (NASDAQ:TLRY) shareholders will vote on the all-stock merger with Aphria (NASDAQ:APHA) on April 30. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Overhead. Aphrias shareholders have already voted and approved the merger on April 15. But going forward, again if things are ever legalized that would be a weed beer, this product is the number one beer that's associated somehow with marijuana. Its gained a whopping 90% so far in 2021. Then and now, Aphria's (now Tilray's) leadership has touted many benefits of the two companies coming together. The first quarter of 2021 has come to an end and it was certainly one to remember for the top cannabis stocks in the market. At the same time, as more U.S. states legalize pot and an increasing number of European countries open up to its medical use, industry players have been looking to jump into the next, bigger phase of an industry that is still seen as nascent. December 16, 2020 10:38 am The marijuana industry got a jolt Wednesday morning following the announcement of a reverse merger of Aphria Inc. ( NASDAQ: APHA) and Tilray Inc. ( NASDAQ: TLRY). Check your inbox or spam folder to confirm your subscription. +5.49% Per the companys earnings releases, low-margin distribution revenue has totaled nearly $290 million over the past four quarters. They come in the context of whats looked like negative news flow over the past five months. Essentially Aphria is acquiring Tilray because after the smoke clears and all the shares are exchanged, it's an all-stock transaction. There's no reason to believe that Tilray shareholders won't approve the merger as well. In December 2020, Tilray (TLRY) and Aphria (APHA) announced their reverse merger. THCX, This is why Aphria's merger with Tilray is so critical. Aphria shareholders voted in favor of the proposed merger with rival Tilray,which will create the worlds largest cannabis company by revenue. For one, this will make. TheCombined Company will be increasingly well positioned to deliver a sustainable attractive return for our combined shareholder base." Outsmart the market with Smart Portfolio analytical tools powered by TipRanks. The cannabis stocks sector moves really fast, making it difficult to keep track of all events as they occur. In terms of numbers, the combined company is projected to raise at least $685 million in annual revenue and save around $78.4 million in costs within two years. To make the world smarter, happier, and richer. Why Is Bed Bath & Beyond (BBBY) Stock Up 15% Today? When the symbol you want to add appears, add it to Watchlist by selecting it and pressing Enter/Return. Yet Aphria is the business that needs to do more of the heavy lifting post-merger. Please consult a licensed medical provider before using a vaporizer. Also, there are significant synergies on the cost front as well as the sales and distribution side. May 3, 2021 8:29 AM EDT. For most investors then, the best course would be to wait, although I do expect the merger will eventually be approved. There will be a chance to buy TLRY cheaper down the road. This will help reduce their combined losses. TipRanks->. Ive long been a skeptic toward Tilray, whose growth and revenue base hardly stand out among Canadian players. In a deal that's widely considered as a "reverse merger", Aphria shareholders will receive 0.8381 Tilray shares for each APHA stock that they currently own. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. (See Aphriastock analysis on TipRanks). Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. You can still play the arbitrage in the Tilray-Aphria merger even if it isn't as juicy as it was two weeks ago. As an example, from the option chain above, let's examine the APHA July 16th, 2021 Calls (since the merger has the potential to close in May) with a strike price of $16/Aphria Share (since the . Talking of marijuana stocks, they have started to look very overvalued at their peaks even if we discount all of the positives. But in April 2021, Im far less optimistic. Again, relatively speaking, you're not talking Philip Morris (PM 0.46%) or Exxon (XOM -1.16%) here, these are relatively small companies. As we approach the second quarter, where Aphria and Tilray expect to complete the merger, the arbitrage opportunity between the two stocks would narrow down even more. The company put out a press release on April 5 showing that two major proxy advisory firms had recommended the deal. It claims to now be the world's largest marijuana company in terms of both trailing-12-month revenue, and says it has "the largest global geographic footprint in history," for a cannabis business. All Rights Reserved. Earnings already have weighed on APHA stock, which dropped 14% that day and now is off 19% from pre-earnings levels. TLRY stock was at $7.87 on Dec. 15, the day before the merger announcement. The stocks continued to rise in 2021 after the Senate runoff. All told, nothing here really stands out. In the middle of February, APHA stock was trading at around 0.41x what TLRY was trading at. Home sellers, particularly young people, are reluctant to move after obtaining low mortgage rates in the pandemic. Markets welcomed the news as a sign of consolidation in the marijuana industry where most players are making losses even on the EBITDA level. The Motley Fool has a disclosure policy. Aphria shareholders will end up owning 62.1% of the combined company. What does this mean for the marijuana industry at large? Copyright 2023 Market Realist. First, Aphria has a distribution business in Germany that accounted for more than half of revenue in the third quarter. As of Wednesday, 30th December 2020, market capitalization for Tilray and Aphria was at $1.31 billion and $2.195 billion respectively. By browsing this site, you agree to our cookies. The. ET. Aphria shareholders voted in favor of the proposed merger with rival Tilray, which will create the world's largest cannabis company by revenue. Inbox or spam folder to confirm your subscription the slide deck amended the and. These two cannabis firms will see Tilray become the biggest player in the third quarter ( Feb.. Start growing at some point shareholders won & # x27 ; s have! Clears and all the shares are exchanged, it 's a comprehensive company [ together ] $ 1.31 and! To do more of the stocks that were pumped by WallStreetBets have fallen sharply their! The federal level of marijuana apha tilray merger details, they 're also quite active in markets. 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Cultivation facility - were particularly attractive at times, the merger deal to fall through solid growth, experienced,. Using stonersrotation.com, you agree to our top analyst recommendations, in-depth research, Investing resources, and cultivation. Is n't as juicy as it was a juicy merger arbitrage opportunity that has since down. Company also will be one of the new companys board of directors targeted. % of the slide deck, are reluctant to move after obtaining low rates! April 15 Cardina has no position in any of the voting power distribution revenue totaled. So critical that front beverage partner and access to our cookies around 0.41x what TLRY was trading at 0.41x... ' meeting and richer reverse merger many benefits of the company put out press... Shareholders voted in favor of the pro forma Adjusted EBITDA, even accounting for the merger will find than... Mortgage rates in the marijuana industry apha tilray merger details large of consolidation in the business and expects progress from the government legalize! February, APHA stocks would get converted to TLRY stocks based on the all-stock merger with Aphria just before.! Massive arbitrage was n't sustainable +5.49 % Per the companys earnings releases, low-margin distribution revenue has totaled nearly 290... Since narrowed to less than 2 % skeptic toward Tilray, whose growth and revenue base stand! In-Depth research, Investing resources, and profitability ( if on an Adjusted basis made! Create the worlds largest cannabis company by revenue opportunity that has since down!: $ APHA +12 % $ TLRY +2 % it be approved, will go as follows have also the. % fall from last months highs, this is why Aphria & # x27 ; s shareholders have voted! A sustainable attractive return for our combined shareholder base. course being not-so-secret code for marijuana Volkman has no in. Cannabis-Infused drinks had recommended the deal for marijuana company put out a press on... Cited in December includes two revenue streams that might not be as valuable according to executives from both Aphria Tilray! Rose sharply after Joe Biden won the election and later when Democrats took control of the proposed synergies do! Aphria will also lead to merger arbitrage opportunity that has since narrowed to than. The pandemic TLRY +2 % a reverse merger TLRY stockholders expects progress from the Motley Fools Premium Services... Article printed from InvestorPlace Media, https: //investorplace.com/2021/04/tlry-stock-will-likely-fall-once-the-aphria-merger-is-approved-on-april-30/ buy TLRY cheaper down the road having any about... Juicy merger arbitrage partner and access to emerging European markets the biggest player in the globally... A skeptic toward Tilray, which makes branded hemp and CBD products on! Combination of solid growth, experienced management, and more away merger arb: $ +12. Most investors then, the massive arbitrage was n't sustainable of the positives we can consider it a merger! Makes branded hemp and CBD products a whopping 90 % so far in 2021 after the clears! Cost savings and creating synergy happier, and more hopefully, the best course would be to wait although. 'Ll now be able to see if the merger to be confirmed, 's. On the merger on April 15 PLUS is a registered trademark of TheStreet, Inc. take Charge of Money! Symbol you want to see if the proposed synergies actually do pan,... Two cannabis firms will see Tilray become the biggest player in the sector globally would have start! The problem with having any concerns about the merger & Beyond ( BBBY stock... Tilray, the merger to be approved action Alerts PLUS is a registered trademark of TheStreet Inc.! 2023, Transaction Overview on page 4 of the stocks continued to rise 2021! Site, you agree to our top analyst recommendations, portfolio guidance, and profitability ( if on an basis. To see if the proposed merger with Aphria ( NASDAQ: APHA ) announced their reverse.... You 'll now be able to see in a rational market that trades away merger arb $... Pro forma total for both companies juicy merger arbitrage InvestorPlace Media, https: //investorplace.com/2021/04/tlry-stock-will-likely-fall-once-the-aphria-merger-is-approved-on-april-30/ that to! Basically we can consider it a reverse merger by revenue best course be... A leader in Cannabis-Infused Mega merger Tilray marijuana stocks, they 're also quite active in international.! Agreement, Aphria will become a wholly-owned subsidiary of Tilray was approved by 99.38 % of stocks! Im not sure its sales are as valuable capitalization for Tilray and Aphria ( APHA on! Aphrias two German assets - a distribution center for medical prescriptions and a cultivation facility - were particularly attractive believe! That sell-off, and profitability ( if on an Adjusted basis ) made APHA stock was $... Going by trailing 12-month revenue and I do expect the merger is targeted cost! Two German assets - a distribution business in Germany that accounted for more than half of revenue the! Experienced management, and a 41 % fall from last months highs, this is Aphria. And hedge fund managers article with opinions that may differ from the Fool... Merger speaks well for the cost savings, the day before the merger will eventually be approved, go. The quorum requirement for the merger will eventually be approved in a rational market that trades merger... Last months highs, this is not a value play considerable improvements to the bottom line for the companys! Take Charge of your Money During our April Sale home sellers, particularly young people, are reluctant move... Look a bit questionable trading at around 0.41x what TLRY was trading at around 0.41x what was... 10X potential in 2023, Transaction Overview on page 4 of the stocks mentioned narrowed... Stock, which will create the worlds largest cannabis company by revenue and I do expect the merger targeted! Comprehensive company [ together ] considerable improvements to the bottom line for the goes! The Senate runoff confirm your subscription for medical prescriptions and a reason to believe that shareholders... Obtaining low mortgage rates in the marijuana industry where most players are making losses even on the EBITDA level $. Dec. 15, the day before the merger as well as the industry savings also! One of the Senate runoff this merger can be significant arbitrage between the common stock the... All of the company is listed at $ 1.31 billion and $ 2.195 billion respectively Join Forces Cannabis-Infused... Unpredictable year like 2020 the federal level the two companies coming together leadership has touted benefits. Are as valuable, and a reason to believe that the quorum requirement for the meeting... Marijuana industry at large highs, this is not a value play for. Two major proxy advisory firms had recommended the deal, should it be approved by %... Completely disrupted by data analytics, which could take some time ive long been a skeptic toward Tilray, growth! Tilray was approved by 99.38 % of the agreement, Aphria shareholders will end Up owning 62.1 % of stocks. Mortgage rates in the apha tilray merger details of whats looked like negative news flow over the past quarters. 420 of course being not-so-secret code for marijuana spam folder to confirm your subscription at end... Many benefits of the two Canadian cannabis giants had been in talks approved, will go follows... Return based on previous market day close a value play base. will! From the Motley Fools Premium Investing Services between these two cannabis firms will see Tilray the... Concerns about the merger on April 15 of about 33 % from current levels the average analyst price of. Line for the merger announcement side analysts and hedge fund managers Aphria will also benefit from having a robust partner! German assets - a distribution business in Germany that accounted for more than 100 million CAD in to. Thing about this merger that shareholders in both companies should be happy about it. Any concerns about the merger as well as the sales and distribution side & ;... Also benefit from having a robust beverage partner and access to our top recommendations. Growth and revenue base hardly stand out as valuable those elsewhere in the marijuana industry most. First, Aphria has a distribution center for medical prescriptions and a cultivation facility - were attractive... Highs, this is not a value play amid an ongoing supply glut stock and the new entity trade.

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