Colorado is on the verge of passing a groundbreaking law.
The bipartisan legislation could open up the state’s $1.5 billion market to publicly traded companies . . . letting you grab a stake in one of the biggest legal cannabis markets.
Pot stocks are surging . . .
And the gains from my #1 trade for 2019 could be even bigger. In fact, I’m predicting 393% profits starting April 1.
Colorado currently has strict restrictions designed to limit the participation of outside investors.
Current laws make it impossible for publicly traded companies to own cannabis licenses in Colorado. That’s because the laws only allow 15 out-of-state owners of a company licensed for cannabis sales.
That means public companies and venture capital funds – with more than 15 investors outside of the state – are unable to invest.
This outdated law is restricting capital investment in Colorado . . . and making the state a less competitive location for companies in this growth market.
It’s making it harder for Colorado companies to raise capital. And that’s making it difficult for these companies to compete with companies from California and Washington state, where capital is easier to obtain.
Last year, the state legislature passed a law to allow outside investment. However, Democrat Gov. John Hickenlooper Jr. vetoed the bill.
Colorado’s legislature is picking up the legislation this week. And companies in the state are threatening to leave if the governor won’t sign off.
With $1.5 billion in cannabis sales, Colorado represents 15% of the total U.S. market.
Businesses need capital to thrive.
When a state like Colorado says NO to outside capital it creates huge roadblocks for entrepreneurs and their companies in cannabis sales.
Opening up Colorado to out-of-state capital will help fuel economic growth in the state. And it opens up a new market for investors.
I’d expect a flurry of deal activity in Colorado as soon as this bill is passed.
The biggest multi-state operators in the U.S. include Acreage Holdings (OTC: ACRGF), MedMen (OTC: MMNFF), Curaleaf (OTC: CURLF) and Green Thumb (OTC: GTBIF).
Each of these companies could be targeting outright acquisitions of Colorado dispensaries in the coming months.
It’s a green rush . . . and the major players are looking to secure their leading positions as cannabis sales climb.
Are you ready for 393% profits starting April 1? Frankly, this could be even bigger than “pot stocks” in 2019.
Yours in Profits,
Full Disclosure: Ian Wyatt currently owns shares of Curaleaf, Green Thumb and MedMen.