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Cannabis Stocks Get A Boost In Sympathy With Cronos Group

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Cannabis Stocks Get A Boost In Sympathy With Cronos Group

Cannabis stocks were mostly higher early Friday morning in reaction to a nearly $2 billion investment from cigarette maker Altria Group Inc (NYSE: MO) in the space.

The Deal

Altria agreed to pay C$2.4 billion ($1.8 billion) to Canada-based Cronos Group Inc (NASDAQ: CRON) for a 45-percent equity stake with a warrant to buy incremental shares over the coming four years which will boost its stake to 55 percent.

Shares of Cronos were seen trading higher by more than 35 percent early Friday morning.

The Movers

Here is a summary of how other cannabis stocks were trading in reaction to the announcement:

  • Aphria Inc (NYSE: APHA): up 9.93 percent.
  • Aurora Cannabis Inc (NYSE: ACB): up 9.4 percent
  • Canopy Growth Corp (NYSE: CGC): up 6.1 percent.
  • Pyxus International Inc (NYSE: PYX): up 5.7 percent.
  • Tilray Inc (NASDAQ: TLRY): up 5.3 percent.
  • New Age Beverages Corp (NASDAQ: NBEV): up 4.8 percent.

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Posted-In: Cannabis News Markets Movers Trading Ideas Best of Benzinga

 

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