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Cannabis SPAC Achari Ventures Holdings I Files for $100M IPO
Greenrose SPAC enters agreements for up to $103M in additional capital from SunStream. Chicago Atlantic provides $10M Credit Facility to Silverpeak. Green Dragon opens first two FL dispensaries.
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Almost half of yesterday’s Illinois lottery winners are from existing cannabis companies. Although it was named the Social Equity Justice Involved Lottery, almost half of the selections made went to teams closely aligned with multi-state operators as well as a number of high profile Illinois names. A number of non-Illinois cannabis companies were selected—Viola Cannabis, Planet 13, Body And Mind, Michigan’s Moods Cannabis, Justice Grown, Michigan’s Green Skies, and Arizona’s All Greens Dispensary and Nature’s Medicines.
Cannabis SPAC Achari Ventures Holdings I files for a $100 million IPO. Achari Ventures Holdings I, a blank check company backed by Achari Ventures (fka WelCan Capital) targeting the cannabis industry, filed on Thursday with the SEC to raise up to $100 million. The Clark, NJ-based company plans to raise $100 million by offering 10 million units at $10.00. Each unit consists of one share of common stock and one warrant to purchase one-half of a share, exercisable at $11.50. At the proposed deal size, Achari Ventures Holdings I would command a market value of $125 million. The company is led by CEO and Chairman Vikas Desai, founder and Partner of cannabis-focused venture firm Achari Ventures. The company plans to target ancillary (non-plant touching) businesses in the cannabis industry, focusing on those with historical and expected growth tracking or exceeding the industry average, at least $50 million of revenue with clear pathway to $200 million over five years, and a strong management team with execution capability, among other characteristics.
Greenrose Acquisition Corp. — Enters Agreements for Up to $103 Million in Additional Capital from SunStream. SunStream’s investment comprises $78 million in a multi-tranche senior secured loan facility and $25 million in unsecured convertible notes. With the closing of the SunStream financing, and assuming no redemptions of Greenrose stockholders, the company will have up to $276 million to fund its growth strategy. In addition to the senior secured loan and convertible notes, Greenrose reserves the right to raise additional capital in a private placement, in the form of both unsecured convertible notes and common stock. The closing of the SunStream financing is expected to occur simultaneously with Greenrose’s anticipated closing of its de-SPAC business combination and is subject to customary closing conditions.
On Friday, August 6, 2021, Greenrose also intends to provide notification to the escrow custodian of a one-month extension to the closing period for consummating an initial business combination to September 13, 2021.
Chicago Atlantic — Provides $10 Million Credit Facility to Silverpeak. Green Ivy Capital, LLC, an affiliate of Chicago Atlantic, funded a new $10 million senior secured term loan facility for Silverpeak, a vertically integrated operator in Colorado. The Term Loan will provide Silverpeak capital to refinance its existing indebtedness and support further growth. Based in Aspen, Colorado, Silverpeak has seven retail dispensaries, two cultivation facilities, and two production facilities, making it among the more established large-scale vertically integrated players in Colorado. Silverpeak has been successful both in aggregating and integrating robust operations in Colorado and will soon launch retail delivery.
Hawthorne — Acquires HydroLogic. Hydro-Logic Purification Systems, Inc., based in Santa Cruz, is a leading provider of products, accessories and systems for water filtration and purification in the cannabis industry. Terms of the deal were not disclosed, but a Hawthorne spokesperson told MJBizDaily that the company expects HydroLogic to add $20 million in annual sales to its revenue streams.
MAD TASTY — Signs Deal With Southern Glazer’s Wine & Spirits to Bring Hemp-Infused Sparkling Water to Markets Nationwide. MAD TASTY was launched in 2019 by Ryan Tedder, lead singer of OneRepublic, when he was searching for the ultimate functional beverage to help him level his mood and maximize his performance after a grueling two years of non-stop touring and promotion. MAD TASTY saw a 10X increase in June 2021 vs June 2020 and continues to report exponential growth. With the support of Southern Glazer’s, MAD TASTY will roll out in all Southern Glazer’s launch states starting immediately.
📄Company Updates / Earnings
Planet 13 — Wins Chicago License. Planet 13 Illinois won a Conditional Adult Use Dispensing Organization License in the Chicago-Naperville-Elgin region from the Illinois Department of Financial and Professional Regulation. Plant 13 Illinois LLC is owned 51% by Frank Cowan and 49% by Planet 13.
4Front Ventures — Closes on the First Phase of an Up to 558K Sq. Ft. Cultivation and Production Facility in Illinois. Under the previously announced agreement, the first phase of 4Front's multiphase expansion project is anticipated to include a 250,000 sq. ft. building, including 65,000 sq. ft. of flowering canopy and 70,000 sq. ft. of manufacturing space, which has been backed by IIP. 4Front plans to use the Facility to produce the Company's more than 20 in-house brands and 2,000 products, which will be offered to Illinois customers at an accessible price point at its Mission Dispensaries and partner dispensaries across Illinois. The Facility is also expected to produce a variety of white-labeled products such as flower, concentrates, edibles, tinctures, gel capsules and other manufactured products for other multi-state operators, cannabis businesses and brands.
Green Dragon — Opens First Two Florida Medical Cannabis Dispensaries in Boynton Beach and Lake Worth Beach. Established in 2009 at the advent of Colorado’s medical cannabis program, Green Dragon has continued its expansion outside of Colorado by acquiring one of Florida’s Medical Marijuana Treatment Center (MMTC) licenses at the end of 2019. Green Dragon will provide Florida patients access to the world-class quality cannabis products that it has spent over a decade developing and refining. The company is currently building out dispensaries in locations such as West Palm Beach, Tampa, Jacksonville, Ocala, Merritt Island and Titusville, with more to be announced. Green Dragon’s goal is to have at least 20 locations secured by the end of 2021.
SKYMINT — Transforms Former Sears Store Into Coldwater's Largest Dispensary. SKYMINT COLDWATER marks the company's 15th retail location in Michigan and its third store opening within the last month. SKYMINT Coldwater features more than 60 brands, including the exclusive SKYMINT x DNA Genetics collection - the largest selection available anywhere in Michigan of sustainably harvested, globally awarded strains.
New Standard — opens seventh Michigan location in Saugatuck. New Standard opened its first provisioning center in April of 2020. Since that time New Standard has opened an additional 6 locations. Other Michigan locations located in Grand Haven, Hazel Park, Edmore, Muskegon, Nunica, and Sand Lake.
Trulieve — Introduces New Brand Portfolio Designed to Serve Consumers in Adult-Use and Medical Markets.
The launch features a comprehensive brand portfolio that includes four distinct brands designed to meet the needs of all consumers, from the canna-curious to the canna-connoisseur. With the addition of the Muse™, Sweet Talk™ and Momenta™ brands and the expansion of the Cultivar Collection™, the company is providing a range of high-quality, innovative, proprietary brands that together meet the full spectrum of consumer motivations and need-states. Trulieve's evolving house of brands highlights the opportunity for all consumers to "live their best life" via carefully curated products that cultivate the unique potential in all of us.
Tilray — Launches New Medical Cannabis Edibles in Canada. Tilray’s new medical cannabis edibles include two formulations of 16-gram medical cannabis-infused chocolate bars in THC Milk Chocolate containing 10mg of THC and <1mg of CBD per package and CBD Dark Chocolate containing 1mg of THC and 20mg of CBD per package, as well as two formulations of medical cannabis soft chews available in Watermelon containing 10mg of THC and Pineapple-Mango containing 10mg of THC and 10mg of CBD.
Jushi — Announces a Series of Cannabis Brands and Product Launches in Virginia. The Company will debut The Lab, in the form of .5g and .3g vaporizable cartridges, Tasteology, beginning with its chewables line in the coming weeks. With Virginia set to start flower sales in late Q3 or early Q4, Jushi also plans to launch two of its flower brands, The Bank and Sèche, to help meet growing patient demands. Jushi’s brands will be available for purchase at BEYOND / HELLO™ Manassas, additional BEYOND / HELLO™ locations once opened, as well as at partner dispensaries across Virginia.
MariMed — Teams up with Emack & Bolio’s Brand to create New Brand of Cannabis Infused Ice Cream. MariMed and the ice cream magicians at Emack & Bolio’s will create a line-up of cannabis-infused vegan and dairy ice cream in outrageous flavors. The ice cream will contain MariMed’s superior formulations that include the same full spectrum of natural cannabinoids and terpenes from whole plants as are used in MariMed’s award-winning brands, such as Betty’s Eddies™ and K Fusion™. This innovative new category of cannabis products is expected to debut in Massachusetts this year, followed by launches in other legal cannabis markets. Emack & Bolio’s was founded in 1975 by Boston music attorney Bob Rook as a place for his rock star clients to satisfy their midnight munchies after their late-night gigs. Aerosmith, Boston, U2, James Brown and The Cars were some of the groups Rook worked with back in the day. Emack & Bolio’s has evolved into a cult favorite in Massachusetts and in stores around the world.
🧔People | 💻Hiring
Cannadips CBD — Taps Experienced Leaders to Support Continued Growth. Boldt Runners Corp., the exclusive licensee of Cannadips CBD, the Modern Dip Alternative, appointed former VP at U.S. Smokeless Tobacco/Altria, Jen Pike, as Chief Revenue Officer and former finance executive of GE/Genworth, Richard Kannan, as CFO.
Leaflink — Training and Enablement Manager (LA)