Cronos Group (TSX: CRON) has confirmed that it has received what amounts to “a number” of unsolicited indications of interest for the potential sale of the company.
The indications of interest are said to come from third parties, with each involving a potential transaction. Cronos however has not provided details on who is seemingly interested in acquiring the company, instead electing to state that it is in the early stages of reviewing each offer, and that there can be no assurance that anything comes of the discussions.
The announcement follows a rumor that was leaked and reported on by Reuters, who suggested that the Canadian cannabis operator was in discussions to be acquired by Curaleaf Holdings (CSE: CURA), a US-based multi-state operator.
Curaleaf for its part at the request of IIROC this morning commented on the media reports, just to say that the company’s policy is “to refrain from commenting on market rumors.”
The confirmation of third party expressions of interest being received by Cronos all but confirms that the “leak” was conducted in an attempt to get a higher figure in a potential sale. That strategy however has appeared to fail spectacularly, with Cronos closing down 3%, after initially jumping over 19%.
Information for this briefing was found via Sedar, Reuters and the sources mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
As the founder of The Deep Dive, Jay is focused on all aspects of the firm. This includes operations, as well as acting as the primary writer for The Deep Dive’s stock analysis. In addition to The Deep Dive, Jay performs freelance writing for a number of firms and has been published on Stockhouse.com and CannaInvestor Magazine among others.