Barron’s ran an article last week on thriving new markets, featuring Poseidon Asset Management as a leader in the emerging cannabis space.
“First comes the product itself, second come ancillary products, and third comes the infrastructure of related services,” writes Jennifer Alsever. “By that measure, the legal cannabis business is rapidly accelerating into stage three, as an ecosystem of financial and other services quickly grows up.”
The article then mentions Poseidon providing valuable financing services to an industry some banks fear to tread.
"These companies serving the pot producers are small and not publicly traded. But the growth of the pot infrastructure speaks to the growing legitimization of this industry. And as this industry grows with changing state laws, watch for some of these related businesses to go public. Some may be far better investors than the producers they are serving, just as it was for the companies that sold pickaxes and other supplies to the gold diggers in California."