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Post says CSE, TMX ponder pot's risks, rewards in U.S.

2017-06-19 08:39 ET - In the News

Also In the News (C-X) TMX Group Ltd

The Financial Post reports in its Monday edition that the Canadian Securities Exchange has benefited from the TMX Group's unofficial hands-off stance when it comes to marijuana companies with exposure to the United States. The Post's Sunny Freeman writes that U.S. marijuana companies are forbidden to list on public stock exchanges in their home country because the drug is considered a Schedule I narcotic at the federal level. That provides an opportunity -- and a risk -- to foreign-based companies looking to get into the U.S. market. The CSE believes that as long as an issuer complies with laws in the state in which it operates and adequately discloses the legal risks it faces, the company meets the exchange's listing standards. Meanwhile, many Canadian companies say they have been speaking with the TMX about its approach and expect it to come out with a written policy guidance. The TMX Group would not comment on whether such a marijuana policy is forthcoming, saying only that each listing is reviewed on a case-by-case basis. "We evaluate all issuer sand their eligibility to list, and to remain listed on our markets, according to our published policies and guidance," a spokesman said in a statement.

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