Private equity and cannabis

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Private equity and cannabis concerns the funding of the cannabis industry by private equity firms, despite some public policy (at the federal level and in some states) against legalized marijuana. American cannabis companies are

Entourage Effect Capital is one of many private equity firm that has fund focusing on "later-stage cannabis companies."[1]

There are some limitations on American companies listing on the stock exchanges (counter-intuitively, the restrictions are less strict for Canadian companies):[2]

Nasdaq and NYSE allow certain cannabis-related companies -- including Canadian companies that do not sell cannabis in the United States - to list their shares, but will not list companies involved in the direct cultivation or sales of the marijuana plant.

However, such companies have still found workarounds to trade on over-the-counter exchanges.

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