While we’ve seen a host over familiar cannabis stocks find success in the stock market since the November elections, we’re yet to see just the industry really explode in the U.S.
The current rally rides prodominently on optimism that marijuana could soon be legalized at the federal level in the U.S. with a Democratic-controlled Congress, which would help lift recreational marijuana sales. But while, it currently remains legalized only in a handful of states across the country, the industry remains a sleeping giant.
Tired of waiting around for lawmakers, Curaleaf (CURLF), the largest cannabis company in the U.S. has decided to take its talents overseas. This week, the U.S.-based cannabis giant announced it’s expanding its cannabis empire internationally through a $286 million deal to acquire European cannabis company Emmac Life Sciences Limited.
Emmac Life Sciences is a leading vertically integrated European cannabis company which operates in several European medical cannabis markets, including the United Kingdom, Germany, Italy, Spain and Portugal, meaning the deal should give Curaleaf access to a market that has potential to expand well beyond the U.S.
Curaleaf isn’t the first cannabis giant to tap into the European market, however.
Canada-based comapnies, Tilray (TLRY) and Aphria (APHA) also recently teamed up and flaunted a strong European presence as a competitive edge, and this new deal now puts Curaleaf in more direct competition with the two Canadian giants.
With the indsutry only sporting a handful of bonafide, powerhouse cannabis companies, it would seem there’s enough business in Europe to see all three companies find success, even as competition grows. Regardless, it has to be encouraging for cannabis investors to see these companies not waiting around on U.S. lawmakers to finally get legislation passed on the federal level.