Those who are looking into the possibility of investing in the cannabis sector could consider having a look at the Sundial Growers (NASDAQ:SNDL) stock. Back in February this year, the stock had touched a high of $3.21 a share, but since then it has declined sharply and gone down by as much as 70%.
Some degree of profit-taking from investors and considerably dilution of equity were two of the main factors behind the sharp decline.
At the end of the first quarter, Sundial had cash and cash equivalents to the tune of $873.5 million, thanks to a round capital raise. Considering the strength of its cash position, the company is now looking to grow through acquisitions.
Earlier on this month, the company announced that it completed the acquisition of the company Inner Spirit in a deal worth $131 million. Additionally, Sundial has also put in $188 million towards a 50-50 joint venture with SAF Group.
Biotech, Tech, and Crypto reporter
Anthony Gonzales brings 3 years of experience in helping grassroots, mid-sized organizations and large institutions strengthen their management and resource generating capacities and effectively plan for the future. He is also a mentor and professional advisor to artists working in all disciplines. He is the gold medalist from St. Marco University of Science and Technology in the Bachelors of Financial Management as well.