It’s the second deal BMO Nesbitt Burns has underwritten in the volatile marijuana sector.
The Bank of Montreal is delving deeper into the cannabis sector, with investment banking subsidiary BMO Nesbitt Burns Inc. co-leading a $100 million bought deal for marijuana company Cronos Group Inc.
The deal, which was announced on Thursday and co-led by GMP Securities L.P., will see the underwriters acquire 10.4 million Cronos common shares, or 12 million if the over-allotment is taken, at a price of $9.60 a share. BMO’s involvement shows ongoing willingness, at least on the part of its investment banking division, to play in a volatile sector largely avoided by Canada’s biggest financial institutions.
– Read the entire article at Financial Post.