Cannabis Watch: How a freshly grown cannabis company managed to lose $500 million in less than a month

As Tilt Holdings Inc. completed a four-way reverse merger and began trading on the Canadian Securities Exchange late last year, the U.S.-based cannabis producer claimed the value of its disparate parts was roughly $500 million.

A month later, the pot company had a slightly different valuation for those same businesses: About $7 million.

Tilt SVVTF, -16.74% took a goodwill impairment charge of roughly $500 million late Wednesday in its first quarterly earnings report since going public, leading to a massive loss of $554.5 million on sales of just $5.7 million. Chief Executive Alex Coleman told MarketWatch that the charge was because the company used one methodology on Dec.

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