You’re reading this week’s edition of the New Cannabis Ventures weekly newsletter, which we have been publishing since October 2015. The newsletter includes unique insight to help our readers stay ahead of the curve as well as links to the week’s most important news. We no longer send these by email as we did in the past, but we post this and all of the newsletters on our website here.
Friends,
Fifteen weeks ago, we pointed out that few investors care about Vireo Growth, and this remains the case. Vireo Growth (VREOF) is down a lot in 2026 and near its lows. Here is the action for it and MSOS since the 2024 elections:
Vireo did a reverse-split on June 5th, issuing 1 new share for each 30 shares previously outstanding. Dividing the current price by 30 allows investors to judge the performance sine the equity sale at the end of 2024. This was a big capital raise, with the company selling shares at $0.625 for proceeds of $81 million. The current price of $9.44 is below this level substantially.
The company, as we discussed previously, has done so much. Since that last article, it has announced the acquisition of Planet 13 (PLNH), and it announced that it is acquiring certain assets of The Cannabist Company. It also closed on a Pennsylvania dispensary, PhytoNatural, its entry into the state. In June, it completed the purchase of Bridgewell Agribusiness, extending its ancillary work, and it announced dispensary acquisitions in Maryland and Nevada. It also agreed to buy C21 Investments (CXXIF).
In addition to the capital raised in late 2024, Vireo has leaned on Chicago Atlantic (REFI), which will soon be merging with Chicago Atlantic BDC (LIEN). The CEO of Vireo joined from Chicago Atlantic in late 2024.
So, Vireo continues to do a lot of M&A, both private companies and public ones. Investors continue to be unimpressed in my view. The average trading value over the past month in VREOF has been just 13K shares per day. The stock has tanked, and so have the acquired companies:
Recent investors are not happy, but the pool of unhappy owners of Vireo Growth is very deep, as the company has issued a lot of stock as part of its M&A. Perhaps more importantly, Chicago Atlantic stock is crumbling:
This further breakdown in Vireo Growth is a big red flag for cannabis stocks.
Sincerely,
Alan
This week’s newsletter is sponsored by Paul E. Saperstein Co.
Michigan Cannabis Provider
On August 17th, a commercial facility for specialized cannabis processing, including real estate and equipment, from Common C Holdings, LP is being auctioned at 607 Wildwood Avenue in Jackson, Michigan and online at 11:00 A.M, ET. Find out more about the Secured Party Sale of all assets of this cultivation equipment.
Interested parties may contact Paul Cotto at 617-227-6553 or by email at pcotto@pesco.com.
New Cannabis Ventures did not publish any curated articles ore exclusive news.
