BMO Marks First Foray by a Major Canadian Bank in Marijuana Sector with $175M Deal

The big banks may be starting to warm up to the marijuana sector amid a spree of fundraising deals.

Bank of Montreal broke new ground Wednesday for the “Big Five” Canadian lenders with its participation in a major marijuana deal.

Smiths Falls, Ont.-based Canopy Growth Corp., Canada’s largest licensed producer of medical cannabis, announced a bought deal Wednesday of a little more than five million shares of the company, valued at approximately $175 million.

Canopy noted in a release that GMP Securities LP and Bank of Montreal-owned BMO Capital Markets were leading the stock sale as joint bookrunners, marking the first time a major Canadian bank has helped head an equity financing for a publicly traded medical marijuana company.

– Read the entire article at Financial Post.