Hightimes Holding Corp., owner of the iconic High Times magazine, said Friday it can’t close on its small-investor Regulation A initial public offering until its audited financials for 2019 are filed.
But the Los Angeles-based company, which is trying to make a pivot into retail and brand licensing, took exception to reports that the U.S. Securities and Exchange Commission had “halted” its IPO.
“High Times was delayed in its public filing (of its audited financials for 2019) and as a result cannot close on any Reg A investments until its financials are filed,” High Times executive chair Adam Levin said in a statement to Marijuana Business Daily.
“The company has followed SEC protocol and believes the recent media articles surrounding the Reg A has been misleading and inflammatory.”
Levin appeared to be referencing some reports suggesting that High Times has improperly continued to solicit investments.
He didn’t elaborate on why the filing of the audited financials has been delayed.
During a recent investor call, Levin told current and prospective investors that the Reg A offering had been extended to Sept. 30.
High Times continues to promote the IPO on its website.
During the investor call, company officials discussed at length a recent agreement to acquire a California cannabis delivery company called Mountain High Recreation.
Meanwhile, a San Francisco property that Hightimes touted as the flagship of a dispensary deal with Arizona-based Harvest Health & Recreation has been put on the market, according to leasing agent Thor Equities.
Levin wouldn’t address with MJBizDaily why the flagship property is for lease, except to say, “We’re working with all the stakeholders to move forward on these opportunities.”
Alexis Bronson, social equity partner and 40% owner of the pending marijuana license for the Geary Street location, told MJBizDaily this week that he hasn’t heard anything recently about the property from either High Times or Harvest.
Bronson noted in an email to MJBizDaily that “luckily the license application is portable to a new location with the approval of the director of the (San Francisco) Office of Cannabis.”
– Jeff Smith