Cannabis company Greenfern launched an equity crowdfunding campaign
- Cannabis company Greenfern Industries has launched an equity crowdfunding campaign to raise NZ$ 4.0 Million
- The raised funds will be used towards acquiring the hydroelectric power station.
- Greenfern has shown an intention to conduct an Initial Public Offering (IPO) next year.
Based in Taranaki, New Zealand, Greenfern Industries has launched an equity crowdfunding campaign to raise NZ$ 4.0 Million. Total retail investment is limited to NZ$ 2.0 Million (50%), and the rest of the NZ$ 2.0 Million (50%) is restricted to Wholesale or Qualifying Investors. The NZ$ 0.2 Million of the wholesale category has already been issued. The minimum investment value is NZ$ 500.
Medicinal cannabis company Greenfern Industries chose the Equitise platform for launching its crowdfunding campaign. Equitise provides an equity crowdfunding platform for private investors to invest in early-stage companies and startups.
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The Greenfern Industries crowdfunding campaign link can be found here. The campaign has already raised the NZ$ 721,000 from private investors.
Reducing Electricity Bill
The raised funds will be used towards acquiring the hydroelectric power station situated besides Greenfern Industries’ medical cannabis research and extraction facility in Taranaki.
Electricity bills remain one of the largest overheads for a medical cannabis operation. Greenfern already has an agreement in place with the power station operator for reduced commercial rate billings. However, purchasing the strategic asset of the power station would mean drastically reduced power bills. Further, Greenfern indicated an intention to upgrade the power station’s capacity so that Greenfern could sell the excess produced electricity to the national grid.
Second Crowdfunding Campaign
It is not the first time that Greenfern took a crowdfunding root of fundraising. In December 2018, they raised NZ$ 1.81 Million having a minimum and maximum goal of NZ$ 0.5 Million and NZ$ 2.0 Million respectively. The first crowdfunding attracted funding from more than 1,100 shareholders.
Greenfern holds the required license to cultivate CBD and THC dominant cannabis strains for research uses and the development of medicinal formulations. The company has partnered with various organisations to distribute medicinal cannabis products and to undertake R&D of cannabis-based products. Recently, Greenfern signed a distribution agreement with UK company Brains Bioceutical Corp. Greenfern will be selling Brains Bioceutical’s pharmaceutical-grade cannabidiol products throughout New Zealand.
Initial Public Offering Plans
Greenfern has shown an intention to conduct an Initial Public Offering (IPO) next year. Greenfern’s financials are as follows –