In January, North American cannabis companies raised close to $1B. Insiders widely expect this tidal wave of capital to accelerate the industry consolidation which gained momentum in Q4. 

“I would characterize the climate as very optimistic," said Sander Zagzebski, a deals attorney at law firm Greenspoon Marder, which has a large cannabis practice. He anticipates Q1 will be “very good,” and the summer to be even better. 

In an interview with WeedWeek, Zagzebski discussed how cannabis mergers have changed since the last bubble, and th shifting calculus, now that federal legalization could be imminent.

Read the whole thing. 

*

Meanwhile, key Democratic Senators, including Majority Leader Chuck Schumer (D-N.Y.) are calling for an end to federal prohibition in 2021. That's not necessarily what leading multi-state operators (MSOs) want.
Marijuana Moment, WeedWeek

Quick Hit

1. At Forbes, Chris Roberts predicts a "GameStop moment" for pot stocks.

In her new On Brand column, Jackie Bryant looks at how marketers are expanding the consumer base for concentrates beyond the heaviest users:
WeedWeek

Ancillary product companies are adjusting their product lines for the concentrates boom. Daily High Club, the monthly paraphernalia box subscription service, offers an “Ultimate Concentrates Dab Kit,” which retails for $120, far less than it would cost a dabbing neophyte to pick up a glass rig, quartz banger, torch, and other accessories a la carte. 

Inhale it all.

*

"On Brand" is brought to you by Mattio Communications.

Quick Hit 

1. On the other hand, the vape pen market has sagged.
   MJBiz

The cannabis industry has a gender parity problem. 

According to a recent survey, California delivery app Eaze found that women accounted for 48% of new customers in 2020, up from 38% in 2018.

• Attracting female consumers has long been a yardstick for the industry to measure its progress towards mainstream acceptance.
• However, men continue to dominate in the leadership positions that command the highest salaries and set the industry’s future course.
  WeedWeek

The power differential isn’t just a matter of optics or doing the right thing, argues a new white paper from The Arcview Group investor network and the National Cannabis Industry Association. Compelling data suggests companies with women in leadership roles make more money.

Will the industry adapt?

Other recent developments:

• Subversive Capital, which launched The Parent Company, announced its second SPAC deal, this one for Israeli operator Intercure.
• The National Labor Relations Board found grow room employees and trimmers can't unionize because they're are agricultural laborers and therefore ineligible.
  MJBiz  
• The owner of Kool brand cigarettes sued cannabis brand Bloom alleging a trademark violation. (Paywall)
  Bloomberg Law  
• Papa & Barkley named beauty industry veteran Evelyn Wang as its new CEO.
• The Washington Post talked to MSO Curaleaf about whether the industry can be a force for social justice.
• A group of Massachusetts dispensaries dropped their lawsuit against a regulation that would reserve delivery licenses for equity businesses.
  Boston.com
• REC legalization is in the air in New Mexico and Virginia.
  Albuquerque Journal, Politico
• The New Yorker asked if green energy can power the industry. (A relatively modest 5,000 square foot grow uses 66x as much power as an average home.) 
• Colorado Gov. Jared Polis wants to create a $5M cannabis equity fund.
  Westword
• Business Insider asked industry luminaries about their predictions for 2021 and psychedelics companies about their fundraising. (Paywall 2x)
• Sara Stewart, founder of The Highspitality Group, discussed plans for what she's calling the industry's first restaurant group.
  Cannabis Edibles and Drink Review