Sunday, March 5, 2017

"The 5 Biggest Marijuana Startups by Funding"

We have no real interest in a portfolio investment approach to marijuana, instead using the ebbs and flows of the scam artists as a clue to the zeitgeist. 2014's "Junior Gold Miners Consider Cashing Out, Pursuing Medicinal Marijuana Opportunities" was a tell that something was afoot, the pink sheet and Vancouver guys are very good at picking up on where the action is.

One boring old trade would be NYSE listed fertilizer play Scotts Miracle-Gro whose product all the smaller growers seem to favor. But it's not exactly unknown to investors:

So, by-your-leave, we'll put on a little mood music (the long intro version) and reprise some of our posts.

Standing on the corner,
Suitcase in my hand
Jack is in his corset, and Jane is her vest,
And me I'm in a rock'n'roll band Hah!
Ridin' in a Stutz Bear Cat, Jim
You know, those were different times!
Oh, all the poets they studied rules of verse
And those ladies, they rolled their eyes

Sweet Jane! Whoa! Sweet Jane, oh-oh-a! Sweet Jane!

I'll tell you something
Jack, he is a banker
And Jane, she is a clerk
Both of them save their monies, ha
And when, when they come home from work
Oh, Sittin' down by the fire, oh!
The radio does play
The classical music there, Jim
"The March of the Wooden Soldiers"
All you protest kids
You can hear Jack say, get ready, ah

Sweet Jane! Come on baby! Sweet Jane! Oh-oh-a! Sweet Jane!

Some people, they like to go out dancing
And other peoples, they have to work, Just watch me now! ... 

First, the headline story from Nanalyze, Feb. 22:
As the cannabis market blooms in the US and across the globe, industry credibility rises with each successful entrepreneurial venture. Prior to the trial-by-fire of running a successful business, all companies begin by obtaining funding: funding that comes from sources like private investors, bank loans or by selling company stock to the public. Due to the ambiguity of differing laws between States and the Federal government, funding a cannabis-based business often relies on private investors more so than bank loans. That’s why all these cannabis venture capital firms have started popping up alongside cannabis focused incubators that will give you seasoned advice and contacts in exchange for a small chunk of equity. When determining whether to invest in an up-and-coming cannabis related business, funding can be a tremendous indication of a strong stock, especially when a lack of financial history casts shadows of doubt.

While we compiled a list of 57 “marijuana stocks”, most of them are over-the-counter scams and the only notable standouts are the big Canadian growers. The real opportunity in the United States is in the privately funded startups, though exit events like IPOs are questionable given the fact that marijuana is still an illegal drug. Here listed are five of the biggest marijuana companies operating right now based on the amount of funding they have taken in. While not all are publicly traded, most are in search of private investors, and all of them should be watched closely by investors as the cannabis industry takes its rightful place in the world economy.

Privateer Holdings 

Founded in 2010, Seattle Washington-based startup Privateer Holdings was founded by three entrepreneurs; all of which were experienced in venture capital as well as investment banking. After raising $122 million dollars in capital from investors that included Peter Thiel, Privateer Holdings has established itself with three distinct cannabis industry identities.
Under the umbrella of Privateer Holdings there are three readily recognizable brands. First, Tilray Medical Cannabis operates a world-renowned medical cannabis research and production facility in Nanaimo, British Columbia. Operating in Canada allows Tilray’s facility to hold the title of being the only American-owned, federally licensed, commercial cannabis production facility in the world. Second, Marley Natural offers a comprehensive line of cannabis, body care products, and also accessories. This brand is rooted in the legacy of Bob Marley: respecting nature, preaching justice and promoting cannabis as “the healing of the nations”. Oh, and making money. Lastly, Leafly is a media channel primarily purveyed through their informational website. They inform cannabis consumers about all aspects of cannabis and the industry, while empowering cannabis businesses through technology and advertising. Leafly sees roughly 10 million monthly page visits and has almost 2 million subscribers.

Pharmacannis is a medical cannabis production and dispensary business operating in New York and Illinois that has taken in $68.8 Million in funding so far. The Company focuses strongly on three core principles: quality, safety, and service. Pharmacannis has split their resources evenly between NY and IL with four locations in each State. You can find Pharmacannis in the following cities:...

Also at Nanalyze, April 20(!), 2016:
WARNING – Don’t Buy Cannabis Stocks!

Previously on Dopers and Hopers:

Marijuana Finance
America’s Economy Will Be Saved With Marijuana And Craft Beer
Commodities: "Marijuana Bubble Worries Grow in Canada After Two-Year Rally"
"The Weed Funding Bubble"
Junior Gold Miners Consider Cashing Out, Pursuing Medicinal Marijuana Opportunities
"Peter Thiel's Founders Fund becomes first institutional investor in marijuana"
Frontrun the Dopers: "These 4 States Will Reform Their Marijuana Laws in 2013"
"Is Monsanto Ready to Enter The Medical Marijuana War?" (MON)
In the Wake of Colorado and Washington State Legalization, Time to Think About Pot-enomics
Here Comes Crop Insurance For Your Dope
The Audacity of Dope: "Oakland ready to approve four marijuana factories"
6% of all power produced by BC Hydro is used to grow marijuana.
If Farm Investing Conference Agenda Is Any Indication, Marijuana Prices Are Going to Zero
Bread and Circuses: Chicago City Council Votes to Decriminalize Marijuana, 43-2
"The Coming Age of Corporate Cannabis"
"Hedge Fund Managers Smoking Out Opportunities In Emerging Market Of Legalized Weed "
As soon as one 'Uber for weed' startup gets cut down, another grows in its place
"The Geography of Pot Prices"
The Marijuana/Solar/Wine Connection 
"Marijuana growers in the US are using $6 billion a year in electricity"
Attention Homeless Dopers: New Berkeley Ordinance Requires Dispensaries to Hand Out Freebies
Considering the co-morbidity of schizophrenia and pot use, and schizophrenia and homelessness, this is probably a good idea.
For Berkeley
"Silicon Valley Wants to Fund California's Secession, #Calexit"
Yield: "Sex Shops, Bingo and Sewage Define New Era of Pension Portfolios"

And many more. Use the search blog box if interested.