Lowell Farms Inc. (CSE: LOWL)(OTCQX: LOWLF) reported that it has completed an $18 million non-brokered private placement of common equity. Proceeds will be used for working capital purposes, automation investments, and expansion into new markets. Company insiders bought an aggregate of 2,900,000 Units and the units were priced at $1. Shares were lately selling at $1.18.
“We are grateful for the support of our investors who share our conviction and excitement in our mission to capture an enormous market opportunity in front of us,” said George Allen, Chairman of Lowell Farms. “This financing allows the Lowell Smokes brand, one of the strongest cannabis brands in the country, to expand geographically and increase scale in its home state of California.”
AFC Gamma, Inc. (NASDAQ: AFCG) today announced it has provided a credit facility of $23 million to Missouri operator BeLeaf Medical, LLC. The credit facility is designed to provide BeLeaf with the capital necessary to expand its three Missouri cultivation facilities in Lakefront, Jonesburg and Cherokee, as well as purchase the Jonesburg cultivation facility. The Company has nearly completed construction on ~25,000 square feet of canopy between its locations and plans to add an additional ~16,000 square feet.
“As we continue our expansion in Missouri, we are excited to have the support and expert partnership of AFC Gamma,” said Kevin Riggs, President of BeLeaf Medical, adding, “At BeLeaf, we are steadfast in our production of high-quality flower and the development of innovative, best-in-class products resulting in remarkable growth and impressive customer loyalty. We look forward to bringing our exceptional products and brands to consumers in new markets, as this has been our highest priority every time we looked towards expansion.” Missouri legalized the use of medical marijuana in 2018, with sales beginning in October 2020. Since the program launched in October, according to the Missouri Medical Cannabis Trade Association, sales in Missouri have hit $91 million, with 130,000+ registered patients as of July 31, 2021.
Purchasing platform Mainstem completed its latest round of funding, securing $5 million in its recent Series C raise. Mainstem’s funding to date tops $11 million, much of it from the cannatech investors Merida Capital Holdings. Enjoying 213% in sales growth between 2017-2021, Mainstem was recently honored by INC. Magazine in its prestigious annual ‘5000 Fastest-Growing Private Companies in America‘ list. “This is an extremely meaningful milestone for us,” says Mainstem co-founder and CEO ALEN NGUYEN. “This recent capital raise is a reflection of where our industry is heading as well as a testament to the team we have worked so hard to build. Today’s cannabis companies need to utilize robust tracking solutions to maintain inventory levels and serve customers in real time. Our first-to-market SaaS technology provides that support and helps to bring our industry forward as it rapidly expands, offering merchandising convenience for our customers, wherever they are.”