Denver-based MJardin Group said Wednesday it secured $20 million in equity financing, a hefty sum it plans to use for additional strategic acquisitions in the marijuana industry.
MJardin – which manages dozens of cultivation facilities for cannabis companies – said in a news release it had closed on a private placement financing of equity and convertible senior secured debentures.
Here’s what you need to know:
- Earlier this month, MJardin struck a strategic partnership with a Canadian company that provides alternative financing options – Bridge Finance – to create an “infrastructure fund” for acquisitions. As a result of Wednesday’s announcement, MJardin said it is now “fully financed for its near-term growth initiatives.”
- MJardin recently set its sight on Canada’s marijuana market, buying a “major” equity stake in a fledgling producer of medical marijuana in Ontario. Terms of that deal weren’t disclosed, but it underscored how U.S. cannabis companies are positioning themselves for next year’s launch of recreational sales in Canada.
- In the latest funding, KES 7 Capital – a Toronto-based merchant bank – acted as placement agent.
- MJardin also provides consulting services in cannabis cultivation and processing.
- In addition to Colorado, the company has an office in Toronto.