Today is a big day for the cannabis industry as Tilray, Inc. (TLRY) shareholders are going to attend a special shareholder meeting to vote on previously announced mega-merger with Aphria, Inc. (APHA.TO) (APHA).

We expect Tilray shareholders to vote in favor of the merger and believe that the combined company will be the world’s largest cannabis company. Earlier this month, Tilray passed changes to make it easier for it to meet the requirements that are needed to reach quorum at the special meeting.

The merger between Aphria and Tilray has been one of the biggest topics of discussion in the cannabis industry. Over the next year, we expect to see a substantial increase in the amount of consolidation in the Canadian cannabis industry and believe that this business combination has set the bar high for other operators. 

A few months after the merger was reported, Canopy Growth Corporation (WEED.TO) (CGC) announced that it would acquire The Supreme Cannabis Company (FIRE.TO). If Tilray approves the merger, we expect the transaction to serve as a catalyst for additional merger and acquisition (M&A) agreements and this is a trend that our readers should be aware of. 

During the last month, the Canadian cannabis sector has recorded volatile price movements and we will monitor how the market responds to the outcome of Tilray’s vote. Although we expect the cannabis industry to continue to trade in a volatile manner, we believe the industry has recorded impressive advancements so far this year.