Yahoo Finance Connected Cannabis Co. raises $30 million to bring its designer weed strains to more states
Connected Cannabis Co. was founded in 2009 and has since grown to become a leading cultivator of designer cannabis strains. Today, the company announced $30 million in debt and equity financing. This comes after the company raised a $25 million Series A in 2019. The new round was led by existing investors including Navy Capital and One Tower Group. Emerald Park Capital, an affiliate of Bryant Park Capital, and Presidio View Capital also participated.
Currently, Connected Cannabis Co. operates cultivation and retail facilities in California and Arizona. With the additional financing, it intends to expand elsewhere. The company says it plans to focus on states with robust cannabis cultures and promising outlook for growth, such as Nevada and Michigan.
“We’re thrilled to bring Emerald Park Capital and Presidio into the Connected family and welcome back our long-term partners that have supported our company’s mission from the very beginning,” said Sam Ghods, CEO of Connected. “We are steadfast in our development of new, best-in-class genetics and our production of top-quality flower that has resulted in impressive growth and unwavering customer loyalty. That same commitment and quality that we’ve prided ourselves on from day one will stay with us as we enter additional states. We look forward to bringing our true product and brand to consumers in new markets -- that is our highest priority every time we look at expansion.”
Connected Cannabis is among a growing number of cannabis-focused companies amassing a war chest ahead of expanding outside of select regions. As more states in the United States legalize cannabis, more companies are exploring expansion options. Strict federal regulations often slow the process and make it cumbersome for cultivators like Connected to operate in different states, which often have different regulations, and federal law prohibits interstate commerce.
Growing cannabis is easy. The plant is hardy and forgiving. Growing cannabis at scale is anything but hardy and forgiving, which is why Connected turned to additional funding to fuel its national growth.
