Skip to Content

Tilray Inc TLRY

Rating as of

Morningstar’s Analysis

Currency in USD

Economic Moat


Capital Allocation


Raising Fair Value After Tilray Buys MedMen Convertible Notes for First Toehold Into U.S. THC Market

Analyst Note

| Kristoffer Inton |

On Aug. 17, Canadian cannabis producer Tilray announced that it and a group of strategic investors acquired roughly $166 million, or about 75%, of U.S. multistate operator MedMen’s senior secured convertible notes and related warrants. Tilray’s share in the deal gives it 68% of the outstanding notes and warrants, which would convert to about 21% of MedMen’s outstanding shares. The notes are convertible and warrants exercisable upon U.S. federal legalization, or Tilray’s waiver of such requirement. The deal gives Tilray its first option value into U.S. THC, akin to Cronos’ option to acquire a 10.5% stake in PharmaCann and Canopy’s options to acquire 27% of Terrascend and 100% of Acreage.

Read Full Analysis

Company Profile

Business Description

Tilray is a Canadian producer that cultivates and sells medical and recreational cannabis. In 2021, legacy Aphria acquired legacy Tilray in a reverse merger and renamed itself Tilray. The bulk of its sales are in Canada and in the international medical cannabis export market. U.S. exposure consists of CBD products through Manitoba Harvest and beer through SweetWater.

655 Madison Avenue, Suite 1900
New York, NY, 10065
T +1 844 845-7291
Sector Healthcare
Industry Drug Manufacturers - Specialty & Generic
Most Recent Earnings May 31, 2021
Fiscal Year End May 31, 2022
Stock Type Speculative Growth
Employees 2,100

Transparency is how we protect the integrity of our work and keep empowering investors to achieve their goals and dreams. And we have unwavering standards for how we keep that integrity intact, from our research and data to our policies on content and your personal data.

We’d like to share more about how we work and what drives our day-to-day business.

We sell different types of products and services to both investment professionals and individual investors. These products and services are usually sold through license agreements or subscriptions. Our investment management business generates asset-based fees, which are calculated as a percentage of assets under management. We also sell both admissions and sponsorship packages for our investment conferences and advertising on our websites and newsletters.

How we use your information depends on the product and service that you use and your relationship with us. We may use it to:

  • Verify your identity, personalize the content you receive, or create and administer your account.
  • Provide specific products and services to you, such as portfolio management or data aggregation.
  • Develop and improve features of our offerings.
  • Gear advertisements and other marketing efforts towards your interests.

To learn more about how we handle and protect your data, visit our privacy center.

Maintaining independence and editorial freedom is essential to our mission of empowering investor success. We provide a platform for our authors to report on investments fairly, accurately, and from the investor’s point of view. We also respect individual opinions––they represent the unvarnished thinking of our people and exacting analysis of our research processes. Our authors can publish views that we may or may not agree with, but they show their work, distinguish facts from opinions, and make sure their analysis is clear and in no way misleading or deceptive.

To further protect the integrity of our editorial content, we keep a strict separation between our sales teams and authors to remove any pressure or influence on our analyses and research.

Read our editorial policy to learn more about our process.