- What We Are Seeing: this post is part
of Stikeman Elliott's
series on evolving market insights emerging during the COVID-19
pandemic
Going into the outbreak of the COVID-19 pandemic, many
public issuers in the cannabis industry were already experiencing
significant challenges, including liquidity issues and depressed
stock prices. The outbreak of the pandemic and the related economic
fall-out has resulted in further challenges for publicly listed
cannabis companies and extreme volatility continues to be the
norm.
Industry Faces Additional Challenges
Amid the financial concerns brought forth from the COVID-19
pandemic, many cannabis companies are pausing, rationalizing their
businesses and pulling back operations, including laying off staff,
shutting down non-profitable business segments, postponing
production and pausing construction and expansion plans. Numerous
issuers have also shuffled senior management. The prevailing
industry headwinds, made worse by
