With the UK Parliament debating whether to legalise cannabis for medical purposes, it's informative to look at other countries and how they have faced up to the same issue. The trend in Denmark seems to follow that seen earlier in North America, with legalisation of medical marijuana leading to a rush of producers and already a dozen Danish permits issued. The introduction of a trial period also offers legislators an opportunity to review the effects of legalisation after four years.
In North America, medical marijuana has now established itself as an increasingly mature industry, with attitudes changing to recognise the benefits modern THC-based medicines can offer. Were medical marijuana to be legalised in the UK, I think we would see the same explosion of interest in the so-called "green rush", with a number of overseas producers and suppliers taking advantage of the creation of a new market alongside newly-minted domestic businesses.
It is likewise to be expected that legalisation of medical marijuana in the UK would lead to a demand for capital; both for new businesses looking to fund growth, as well as for some more established overseas companies seeking to tap a UK investor base which, to date, has not had very much exposure to cannabis stocks at all. For investors and brokers focussed on the UK capital markets, now may therefore be a good time to start looking more closely at this industry and the opportunities it could offer.
Denmark’s high hopes to become Europe’s biggest medical cannabis producer