Canndescent, a commercial marijuana grower in Southern California, announced Wednesday it has closed a $6.5 million funding round to bolster its cultivation facility in Desert Hot Springs.
The raise was completed from more than 30 investors, according to a news release, and will go toward “working capital, marketing, and additional property, plant and equipment.” The facility will start cultivation operations on Sept. 29.
The Desert Hot Springs facility is the first in Southern California to operate with a locally issued business permit specifically for growing cannabis, the release claims, though the town has become a hotbed of marijuana business activity.
The municipality, located about two hours east of Los Angeles, has sprouted into a welcoming area for would-be cannabis businesses hoping to make a splash in the enormous California marijuana market.
It’s drawn plenty of cannabis entrepreneurs, many of whom are planning huge greenhouses with which to supply the medical marijuana industry – and possibly the recreational marijuana industry – across the state.