Last night Roots (ROOT) announced it’s going private in a $160M deal led by Marquee Brands, which should send the stock up ~10% at the open…

… but comes at a slight discount to its long-term average valuation, a dynamic we’ve seen consistently in this recent wave of TSX takeouts. While revenue growth has returned in recent quarters…

… international expansion will be the primary focus to sustain it, which should keep a lid on margins in the near-term…

… given the difficulty in establishing Canada-heavy brands abroad, making private markets the best place to figure it out.

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