There were 453 transactions in the North American Metals & Mining sector in third quarter of 2019, including 319 private placements, 46 public offerings, 67 mergers & acquisitions, 1 buybacks and 20 shelf registrations, with a total value of C$54.9 billion. Total deal volume increased by 2% over the third quarter of 2018 and transaction value increased by 177%.
There were 47 transactions in the North American Cannabis sector in September 2019, including 26 private placements, 6 public offerings, 10 mergers & acquisitions and 5 shelf registrations, with a total value of C$2.4 billion. Total deal volume increased by 262% over September 2018 and transaction value increased by 723%.
We continue the financing a troubled company series and discussing why and how to create effective, useful monthly and weekly cash flow models.
With the combination of increased use of debt financing, tightening capital markets and a shakeout of winners and losers in growing, processing and distribution, insolvencies are a certain issue in the near future. But, there are very real obstacles to restructuring a cannabis business in both the US and Canada, certainly when compared to traditional industries.
Troubled situations require swift and substantial action, which is the focus of the first three rules of the Sinclair Range turnaround methodology.
