Capital raises in the marijuana industry appear to be continuing unabated since the issuance of the Sessions Memo on Jan. 4.
Country music star Willie Nelson’s cannabis company joined the marijuana funding fray Wednesday with the announcement of a $12 million raise for expansion into new markets.
Nelson’s company, GCH, plans to enter the California market with its Willie’s Reserve brand during the spring of 2018, according to GCH spokeswoman Tia Mattson.
GCH already has products available in Colorado, Oregon, Nevada and Washington state.
The company raised the $12 million in a convertible note, Series B funding.
According to Mattson, the round was led by a network of high-net worth individuals, institutional investors and two cannabis-focused venture capital firms, Tuatara Capital and Hypur Ventures.
The $12 million raise brings GCH’s total raise to nearly $30 million, Mattson said. She added that GCH is confident that a new upcoming funding round aimed at hitting $40 million “will go quickly” based on “current investor enthusiasm for the market.”
Aside from funding the California expansion, GCH will use the raise to:
- Expand the company’s edibles line in Washington state.
- Launch an edibles product line in Colorado.
- Add “premium sun-grown cannabis” to its product offerings from “sustainable outdoor grows” in Colorado and Washington state, Mattson said.