Michigan's Skymint Hits The Auction Block, First Major Cannabis Company To Go To Highest Bidder
Portfolio Pulse from Maureen Meehan
Michigan-based cannabis cultivator Skymint is being auctioned off, with its assets including leases on 23 dispensaries and two cultivation sites. Tropics LP has offered to acquire the assets for $109.4 million, setting the bidding floor. Skymint owes Tropics, a subsidiary of Sundial Growers (NASDAQ: SNDL), approximately $135 million.
June 01, 2023 | 2:44 pm
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Sundial Growers' subsidiary Tropics LP has offered $109.4 million for Skymint's assets, setting the bidding floor. Skymint owes Tropics approximately $135 million.
The auction of Skymint's assets could potentially help Sundial Growers' subsidiary Tropics LP recover some of the debt owed by Skymint. However, it is uncertain whether the auction will result in a successful sale or if the final bid will be enough to cover the debt. Therefore, the short-term impact on SNDL's stock price is neutral.
CONFIDENCE 85
IMPORTANCE 60
RELEVANCE 80