TerrAscend to list its stocks on the Toronto Stock Exchange

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Impatient with progress in the US, the cannabis company is heading to the Canadian exchange

While the Canadian stock markets may be a very small segment of the global stock markets in terms of market capitalization (3-4%), they are home to some of the best companies in sectors such as financials, energy and even cannabis. These companies have a proven track record in terms of profitability and growth, good management, and strong balance sheets. The Toronto Stock Exchange (TSX) is currently the most popular stock exchange in Canada and it appears that TerrAscend has several plans in mind to join it.

The leading marijuana company recently announced its application to list its shares on the TSX. This move comes to be seen as a step towards a larger exchange for the multi-state operator (MSO) of cannabis. According to many experts, joining the TSX “would be the first major stock market membership for a US multi-state operator.”

In addition to having offices in Toronto, TerrAscend also manages part of its operations from New York. The company currently trades its shares in Canada on the Canadian Stock Exchange. However, management believes it is time to take the next step. TSX is considered the ninth-largest exchange in the world by market capitalization. It is headquartered in the EY Tower in the heart of Toronto’s Financial District.

In addition to conventional securities exchanges, the TSX also deals in exchange-traded funds, mutual funds, split-stock companies and income trusts. It is an enhanced offering as it could offer benefits such as more liquidity and better access to institutional investors, something sorely needed in an industry such as cannabis.

“We believe we will qualify for listing, and the TSX is an important exchange that will bring a lot more liquidity to our listing,” TerrAscend CEO Jason Wild told Bloomberg. “Liquidity is very much needed and really doesn’t exist right now for operators like us.”