Denver-based 1906 closed on an $18 million in its most recent capital raise. The round was led by Navy Capital and included a range of institutions, high net worth individuals and 1906’s existing investors. 1906 said it will use the investment to fund the company’s launch in the additional states of Illinois, Massachusetts, and Michigan.
1906 is known more for its support of medicinal cannabis research and invests a percentage of its revenue in clinical trials and educating healthcare practitioners. The company also invests in corporate social responsibility, specifically targeting employment opportunities for those formerly incarcerated individuals who have paid the heaviest price for a century of cannabis prohibition.
“Navy Capital’s investment in 1906 reflects our belief that it is one of the best brands in the country,” said Sean Stiefel, a Navy Capital portfolio manager. “We are very impressed with the company whose fast-acting formulations represent the cutting edge of cannabis. Our investment will help 1906 become one of the leading brands in the new adult-use markets of Illinois, Massachusetts, and Michigan.”
The company’s CEO Peter Barsoom is a Wall Street refugee who set his sights on the cannabis industry in 2014. Initially, 1906 targeted the infused chocolate market that focused on delivering products directed at certain moods. The six experiences, Love, Go, Chill, Midnight, Bliss, and Genius are advertised as delivering finely tuned combinations of select cannabis strains, with potent plant medicines, engineered to be the fastest-acting edibles on the market.
According to the company statement, 1906 has just released Drops, pressed tablets (or pills) that represent the new frontier in cannabis medicine. Developed after years of research and testing, Drops are the only pill on the market to combine medicinal cannabis with plant medicines for targeted effects. Like all 1906 products, Drops employ a patented fast-acting technology that uses lipid microencapsulation for rapid onset (under 20 minutes), the fastest technology in the industry.
The company said that 1906 Drops combine highly effective plant medicines with a low dose of THC plus CBD to create a suite of portable, discreet, vegan, and zero-calorie medicinal formulas in a familiar user-friendly format for daily remedies—a swallow-able coated pill.
1906 Founder Peter Barsoom says, “With Drops, cannabis medicine has finally arrived. For far too long, consumers and patients have had to rely on smoking cannabis in order to get fast onset time and specific effects. After years of R&D, we have finally brought a healthier, more effective product to the cannabis marketplace. And for the first time, we’ve introduced a new experience for cognitive enhancement, Genius, which we believe will finally kill the Reagan-era propaganda that cannabis is brain-dulling.”