The Cannasouth Initial Public Offering (IPO), which is the first domestic IPO in two years, has a poor capital structure.

Just when the NZX needs a clear, investor-focused offering, Cannasouth's share structure is reminiscent of the bad, old mid-1980s. In other words, I believe the Cannasouth IPO has a structure that primarily benefits existing shareholders rather than those participating in the IPO.

Cannasouth Ltd, a medical cannabis company, was incorporated on August 21, 2018, with Nic Foreman and Mark Lucas receiving 485,000 shares each and Merran Davis 30,000. According to Company Office filings, these one million shares were