I was reading about a sale of 3-Fifteen to a company called Skymint the other day. No, not the 3 Fifteen in Missouri, apparently that’s 3 Fifteen Primo. Although private corporations make it tough to see who the actors are, and who’s holding what.

$78MM will get you 12 operating dispensaries in Michigan apparently. What caught my eye is Merida’s involvement in the deal, who’s got an interest in those Missouri assets as well. I don’t think it’s a leap in guessing there’s some alignments somewhere between 3-Fifteen and a capital firm.

The announcement is stripped down as well – $8MM for an ‘equity investment’. In financial terms, that could be a hundred things.

The other $70MM comes from a company called ‘Tropics LP’ in the form of a secured loan. No mention of optionality – but since Tropics is a subsidiary of Sundial Growers ($SNDL) – we might be soon able to pop the hood, and see what’s happening.

Sundial has become interesting to me – as I’ve watched them shed the skin of being a weed company and put on a hedge fund hat with deely bobber. Readers might recall how $SNDL was (past tense) (a) fascination for GoBlue. Mainly for being an operational mutt that aspired to underperform Cronos. Whether intentional or not, the $SNDL torch has been passed. We’ve got a ton of info on them (it should probably come with a hazardous materials label).

A notice was issued on SEDAR a day earlier by $SNDL, seeing them file an early warning report – that announced they bought another .01% (!) of Valens ($VLNS) – and now owns a 10% beneficial interest, up from the previous 9.99% . I’m looking forward to seeing if $SNDL had participated in earlier raises, and is packing any optionality in debt or warrants.

$SNDL may become investable to me at some point (that was to make Blue laugh). If they can make money off of their money, I’d be interested (I can hear Blue laughing again). The business model makes no sense to me at the moment though. Are the operator? Bank? Capital firm? Hedge fund? Vulture? Hence my fascination.

I’m looking forward to their next financials though, even if “for entertainment purposes only”.

Despite the gags, they are dealmaking, and I want to see what they want their exposures to look like.

The preceding is the opinion of the author and is in no way intended to be a recommendation to buy or sell any security or derivative. The author holds no position in $SNDL