Cresco and Columbia Care in marijuana mega-merger
Cresco Labs, a Chicago-based pot producer, agreed to buy New York-based rival Columbia Care for $2 billion in stock.
Why it matters: This would create the largest U.S. cannabis company by sales.
Details: Both companies are listed in Canada and trade over-the-counter in the U.S. Cresco will pay the equivalent of C$4.57 per share, representing more than a 15% premium on Columbia Care's closing price on Monday.
The bottom line: "People familiar with the matter have said the buyout would require significant divestitures as the companies' footprints overlap in multiple states, including New York where only 10 firms have cannabis licenses." — Reuters