It was an instant home run, handing pre-IPO investors a huge 696% profit.
Canopy Growth (NYSE: CGC) created a new company to focus on investments in the cannabis sector. Specifically, Canopy Rivers (TSXV: RIV) is designed to make acquisitions of privately held cannabis companies.
Prior to going public, Canopy Rivers completed two pre-IPO financings.
- January 2018: Canopy Rivers raised C$26 million from investors by issuing private shares at C$1.10. Canopy Growth participated in the financing – investing over C$5.1 million.
- July 2018: Canopy Rivers initially plans a C$60 million financing. Due to high demand, that was increased to C$104 million. Private shares were issued at a price of C$3.50.
That means investors had two chances to buy pot stock pre-IPO shares – at C$1.10 and C$3.50.
One similar pot stock pre-IPO could allow you to purchase shares for just $0.55. Go here for urgent details.
Why are pre-IPO shares so attractive?
Pre-IPO financings are typically completed several months before an initial public offering. And as a result, the share price is often a steep discount to the IPO price.
On Sept. 20, Canopy Rivers went public via a reverse merger with a public company called AIM2 Ventures. This transaction is an unconventional initial public offering; it lets a company quickly go public.
The stock closed the first day of trading at C$8.75 – trading huge volume of 18 million shares.
Let’s take a look at the gains for the pre-IPO investors.
Folks who got into the January financing bought shares at C$1.10. That means that earned a 695% profit in eight months.
Meanwhile, those who bought shares in this pot stock pre-IPO in July still did pretty well. Their return was 150% in just two months!
The IPO hype has since subsided. And Canopy Rivers stock has pulled back to trade around C$6. Even after the pullback, the gains are massive.
Frankly, it’s almost impossible for most investors to even dream of these types of results.
These quick gains are typically ONLY available with a pre-IPO situation.
That’s why Wall Street’s hedge funds, corporate executives and billionaires love investing in pre-IPOs. By purchasing shares of stock BEFORE a company goes public, they’re able to maximize their profits.
That’s why I’m thrilled to make a major announcement . . .
I’ve recently uncovered another pre-IPO in the cannabis sector. And I’d love to bring it to your attention.
The company is a government-approved licensed producer. And that greatly reduces the overall risk.
Right now, the company is completing a financing at C$0.55 per share. It’s the final round of financing before the company plans to go public.
Personally, I’m going to invest at least C$10,000.
Looking for big profits with pot stocks? Be sure to check this out . . .
Yours in Profits,