Multistate hashish firm iAnthus secured a $50 million investment from Gotham Green Partners, a marijuana-focused personal fairness firm based mostly in New York.
The deal, introduced Monday, is among the largest investments by a single investor in a U.S.-based publicly traded hashish firm, in line with a information launch.
Net money proceeds to the firm are roughly $46 million after deductions of varied charges and structuring prices, the corporate stated in a information launch.
The new capital might be utilized by iAnthus to repay a $20 million one-year observe to VCP Bridge, construct out the firm’s New York and Florida operations and broaden into new markets, CEO Hadley Ford stated in a press release.
The New York-based firm – which is traded as IAN on the Canadian Securities Exchange and ITHUF on the OTC Venture market – owns and operates seven licensed hashish cultivation, processing and dispensary amenities in a number of states.
In the previous yr, iAnthus has acquired 5 licensed operators in Florida, Massachusetts and New York.
For fiscal yr 2017, iAnthus reported income of $2.four million, up greater than 600% from 2016.
The debt and fairness securities have been issued on a prospectus-exempt foundation and are topic to a maintain interval in Canada of 4 months and a day from the date of issuance and relevant U.S. securities legal guidelines.
Gotham Green might convert its Class A shares into widespread shares starting July 2, 2018.