IPO: Sundial Growers

Article Excerpt

SUNDIAL GROWERS INC. (www.sundialcannabis.com) is an Alberta-based producer of cannabis for medical and recreational uses. It has five facilities: two in Alberta, and three in the U.K. Sundial is also building a sixth facility in B.C. The company plans to go public in the next few weeks, and will list its shares on the U.S. Nasdaq exchange under the “SNDL” symbol. In the quarter ended March 31, 2019, Sundial lost $16.7 million on revenue of $1.5 million. That loss is mainly due to $12.6 million in stock option expenses. The company had no revenue in the year-earlier quarter. Sundial aims to replicate the success of Canadian cannabis grower Tilray Inc. (Nasdaq symbol TLRY), which opted to list its shares in the U.S. instead of Canada. Tilray’s shares quickly soared from the IPO price of $17 to $300, but have moved down to $44. We’ll monitor Sundial’s IPO and continue to update our advice. advice…