The U.S. cannabis industry is highly fragmented, yet at least six acquisitions are languishing in the purgatory of Department of Justice antitrust reviews.
It’s ironic, as there’s certainly no risk of a cannabis cartel forming anytime soon. It’s also one of the primary reasons that many publicly traded U.S. cannabis companies have fallen 40% to 50% from their 2019 highs.
The industry consensus is that the reviews are the result of a government that’s trying to get up to speed on a new industry, rather than genuine concern about a pot monopoly, meaning the stock sell-off may be overdone.
“If ...
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