The episode begins with Toby elaborating on a recent X post stating that a large $90b pension plan recently invested >$100m in a leading cannabis-focused fund. This led to a broader discussion about how institutions are approaching investing in cannabis.

The conversation evolves into what's taking place in Florida. We recently saw a Fox News poll showing 66% support for legalizing adult-use cannabis. Meanwhile, Governor DeSantis recently came out against legalizing cannabis while simultaneously vetoing a bill that would bring new restrictions to the state’s thriving intoxicating hemp market.

The show concludes with another timely installment of Ask Grok.

It's merger mania week--or merger maybenia as Morgan called it--and this week's show is dedicated to the potential partnerships between GTI and Sam Adams and Cansortium and RIV Capital.

We tackle GTI and SAM off the top with an overview of the proposed merger and discuss the timing and synergies. We debate the timing and wonder why now as we are just approaching potential federal reform and meaningful TAM expansion if Florida flips adult use. The group also covers potential synergies in the sales and distribution, plus expanding the cannabis beverage category.

Cansortium and RIV Capital are planning to merge, with the deal expected to close in the fourth quarter. The team talks about how it is hard to find a compelling balance sheet and income state, and perhaps this partnership effectively marries those two pieces. Toby offers perspective on the structure, and Morgan raises hurdles that may make it challenging to close, and this is reflected in the already wide deal spread.

The show closes with Morgan asking Grok who is buying who in the proposed GTI/SAM merger.

With Toby on holiday this week, Morgan and Jesse kick off this week's show by reviewing recent price action and contrasting it with reality. While falling share prices have eroded sentiment, there are positive developments.

Ohio is beginning to turn on adult-use stores next month, and we analyze key dates, estimate the potential size of the adult-use market, and dig into MSO exposure in the Buckeye State. With 43 MSO-owned stores that may expand up to 70 in the near term, this is an important market for public operators, especially those with Level One grows that can add three additional stores and still have the capacity to participate in the wholesale market.

The show ends with a brief analysis of the Farm Bill and changes that may impact the hemp-derived cannabinoid space and Morgan Ask's Grok about the worst M&A deal in history