Top cannabis site Leafly reaffirms forecast ahead of planned market debut

Leafly Holdings

20/12/2021 17:19

Dec 20 (Reuters) - Leafly on Monday reiterated it was on
track deliver on its financial targets for 2021, a sign that the
top cannabis-focused website was bucking broader industry
weakness ahead of its planned Nasdaq debut next month.
    The company earlier in the day got approval from the U.S.
securities regulator for its registration statement, clearing
the path for it to go public after a vote by shareholders of
merger partner Merida Merger Corp I.
    Merida, a special-purpose acquisition company, said its
shareholders would meet on Jan. 14 to vote on the deal that was
agreed in August.  urn:newsml:reuters.com:*:nL4N2PG2BM
    The merger, among the largest by a cannabis-related services
provider, is expected to hand Leafly over $161 million in
proceeds for expansion into newly legalized markets like New
Jersey.
    Leafly Chief Executive Officer Yoko Miyashita said the
company was not dependent on any one jurisdiction to meet its
targets, although the opening of new markets should increase
sales in the coming months.
    The cannabis information provider and retail portal expects
sales in California to rise 15% this year, despite wider
industry struggles due to the dominance of illegal cannabis
markets.
    "North America's legal cannabis industry continues to be the
continent's fastest-growing industry in 2021, and it shows no
signs of slowing down in 2022," Miyashita said in a letter to
shareholders.
    The company last month reported a 21% jump in third-quarter
revenue.

 (Reporting by Ruhi Soni in Bengaluru; Editing by Aditya Soni)
 ((Ruhi.Soni@thomsonreuters.com ; Twitter: https://twitter.com/ruhithere
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