The parent company of the longtime cannabis-centric publication High Times magazine has filed paperwork to raise $50 million by selling shares at $11 each.
The initial public offering, disclosed in a filing with the Securities and Exchange Commission, reinforces that the magazine’s parent company still intends to obtain a listing on the Nasdaq if possible.
The IPO will be done through a a so-called Regulation A+ offering, a relatively new funding technique aimed at smaller investors.
But it remains to be seen if a Nasdaq listing can be accomplished.
If Hightimes Holding doesn’t make the cut, it will be listed on the over-the-counter markets or on the Toronto Venture Exchange, Crowdfund Insider reported.
Hightimes Holding Corp. has watched its financial fortunes tumble over the past few years, according to the SEC filing.
The company went from net income of $3.4 million in 2014 to a net loss of $2.9 million in 2016.
For the nine months ended Sept. 30, 2017, the consolidated net loss of the Hightimes Group was roughly $16 million.
However, nearly $7 million of that red ink resulted from a nonrecurring, noncash stock compensation charge and an additional $2.7 millon noncash charge, according to the SEC filing.