California-based MJIC, Inc. successfully closed a private round of financing resulting in gross proceeds of U.S. $15 million. The company said it is planning on becoming a publicly traded company in 2019 and recently entered into a financial advisory agreement with Haywood Securities.
“This financing will significantly accelerate our growth strategy as we continue to build MJIC’s integrated distribution and retail platform across the entirety of the cannabis ecosystem,” said Sturges Karban, Chief Executive Officer and Board Member of MJIC.
The money will be used to hire key executives and expand MJIC’s licensed distribution infrastructure, enhance its manufacturing capabilities, and increase the depth of its reach across multiple retail channels throughout the State of California and the rest of North America.
“We could not be more pleased with the overall outcome of the transaction; in the aggregate, and through this single offering, we have raised more than three times the total amount we had initially targeted, only further validating MJIC’s value proposition and underscoring the unique opportunity from a truly vertically integrated platform.”
Last month, MJIC announced the acquisition of MyJane , a California-based wellness technology platform designed to curate personalized cannabis experiences for women, delivered privately to their homes. MyJane developed the service for women after conducting a first-of-its-kind study among 42,000 women in Orange County, California. Although 79 percent of survey respondents agreed that cannabis products can address their most common health and wellness issues, 30 percent of recreational or medicinal cannabis users felt uncomfortable purchasing through a dispensary. However, almost 80 percent of respondents expressed interest in trying a curated cannabis service just for women.
“MJIC’s strategic acquisition of MyJane goes well beyond our rapid expansion across California and planned public listing,” said Karban. “Women are the new targets of the adult-use cannabis wellness sector, yet their needs are not being addressed by the cannabis industry. Our strategic acquisition of MyJane will enable MJIC to close this gap with women.”
“MyJane exists to broker trust between women and the cannabis industry and normalizes cannabis usage,” said Kimberly Kovacs, Founder, and CEO of MyJane. “We’re achieving this by taking the guesswork and stigma out of researching and buying cannabis. Our vision is to create a community of one million women united by the benefits of cannabis, and we believe we can achieve this momentum through our merger with MJIC.”