Market Overview

Molson's JV Partner Hexo Begins Trading On NYSE American

Share:
Molson's JV Partner Hexo Begins Trading On NYSE American
Read more about our latest Cannabis News! CANNABIS HOME

A new cannabis company joined the NYSE American exchange Wednesday.

Canada-based HEXO Corp. (AMEX: HEXO) was down 7.26 percent at the time of publication. 

What Happened

Hexo announced Jan. 17 that its shares were approved to trade on the NYSE American, a stock market designed for growing companies with a focus on small-cap stocks. The ticker "HEXO" is the same one with which the equity trades on the Toronto Stock Exchange. 

Why It's Important

In August, Hexo and beer company Molson Coors Brewing Co (NYSE: TAP) announced an agreement to create a joint venture, Truss, to develop non-alcoholic cannabis-infused beverages for the Canadian market. 

Cannabis-infused beverages are expected to be one of the most popular product categories in the Canadian market. The government is developing regulations to allow the sale of edibles and beverages, with the products expected to hit the shelves before Oct. 17, 2019. 

Trading on the NYSE American is likely to attract more investors to Hexo Corp. given the exchange's more stringent requirements for companies, which could give investors more confidence in the stock. 

What's Next

The stock began trading two days after Hexo said it plans to launch a public offering of common shares. The company will sell around CA$50 million ($37.42 million) worth of stock. Hexo said it will provide more details about the offering, including the pricing and total size, after it signs an underwriting agreement.

Related Links:

Anheuser's Labatt, Tilray's High Park Farms To Research Non-Alcoholic THC, CBD Beverages

Aphria Stands Pat After Green Growth Launches Formal Takeover Bid

Read more about our latest Cannabis News! CANNABIS HOME

Posted-In: NYSE AmericanCannabis News Small Cap Markets Best of Benzinga

 

Related Articles (TAP + HEXO)

View Comments and Join the Discussion!

Cannabis Movers

Sign up for our secret cannabis newsletter!
Never miss out on the breaking news in the Cannabis Industry!

Why Your Credit Card Issuer Is Asking For Your Income Again

Kerrisdale: Qualcomm Ruling Could Cut 'Stock Price In Half'