CORAL SPRINGS, Florida, July 13, 2016 /PRNewswire/ --
It is estimated that the expense to start a legal marijuana business in the U.S. could cost more than $1Million, according to the Marijuana Business Association. The absence of commercial credit available for the industry in past has opened up opportunities for institutions & private lenders who want to step into the cannabis industry with the average loan estimated at $750,000. Microsoft Corp. (NASDAQ: MSFT) recently became the first major company to announce its participation in the cannabis/marijuana sector, as the computer giant has partnered with Kind Financial, which helps businesses and government agencies track sales of legalized marijuana.
In major funding news and developments: Seventh Point, LLC., a private equity firm focused on acquiring legal, California-based medical marijuana dispensary and cultivation assets announced today that its initial $750,000 friends and family funding round is oversubscribed. The firm has also received two separate $5.5 million financing Letters of Intent for the completion of its first fund - an investment unit that includes the acquisition of a legal Los Angeles based dispensary, its related license, an on-site cultivation facility, and a satellite cultivation buildout.
Steve Gormley, Seventh Point's CEO said, "We are excited to close our first round and will be working with several investment groups to deploy $75MM into the legal cannabis market over the next 36-42 months. We have seen a tremendous shift in the willingness of investors to come off the sidelines and take advantage of the tremendous opportunity available in legal cannabis."
Read the full Seventh Point Press Release at http://financialnewsmedia.com/profiles/7point.html
Once cannabis is rescheduled, the expected value of the legal cannabis industry is estimated at $38.6 billion (in today's dollars), or ~12% larger than the entire "Organic Food" industry. Current market players, such as Seventh Point, who have a demonstrable history of successfully working within this highly regulated market-place, will be in first position to capitalize on the expected exponential growth outlined above (a 500% increase in market size).
Dermod (Trip) Ives, III, Seventh Point's COO said, "What separates Seventh Point from its PE competitors is that Seventh Point does not simply make passive investments in existing companies. Instead, Seventh Point wholly owns its acquisitions, manages the day-to-day operations and bring years of industrial cannabis experience to the table as well as Fortune 50 consumer package goods leadership and Wall Street senior leadership. At this time, Seventh Point is focused on bringing mature, enterprise level strategies to this "cottage" industry specifically within Los Angeles. The reasons for focusing on LA are the favorable regulatory environment and the fact that nearly 25% of the industry's $4.1 billion in revenue was generated within LA last year. LA is to cannabis as New York is to fashion and Silicon Valley is to tech." Media Contact for Seventh Point is Ethan Andersen and can be reached at ethan@nisonco.com or 732-207-6771
In other sector related news of importance: Terra Tech Corp. (OTCQX: TRTC), a vertically-integrated, cannabis-focused agriculture company, recently announced it has expanded its offering of the IVXX Vape Product line with the launch of the "Z92" cartridges, the second line of cannabis oil cartridges. This follows the launch of the Company's original Z35 cannabis oil cartridge line in April 2016.
PharmaCyte Biotech, Inc. (OTCQB: PMCB), a clinical stage biotechnology company focused on developing targeted treatments for cancer and diabetes using its signature live-cell encapsulation technology, Cell-in-a-Box®, announced earlier this month that a recently published scientific article supports PharmaCyte's ongoing research efforts that concern medical uses for constituents of Cannabis known as cannabinoids. The article titled "Amyloid proteotoxicity initiates an inflammatory response blocked by cannabinoids" was published in the journal, Aging and Mechanisms of Disease and appeared online on June 23, 2016.
GW Pharmaceuticals plc (NASDAQ: GWPH), a biopharmaceutical company focused on discovering, developing and commercializing novel therapeutics from its proprietary cannabinoid product platform, announced that it intends to sell, subject to market and other conditions, $150,000,000 of American Depositary Shares ("ADSs") representing ordinary shares of GW on the NASDAQ Global Market in an underwritten U.S. public offering. GW expects to grant the underwriters a 30-day option to purchase up to an additional $22,500,000 of ADSs at the offering price. There can be no assurance as to whether or when the offering may be completed, or as to the actual size or terms of the offering. The price for the offering has not yet been determined.
Medical Marijuana, Inc.'s (OTC: MJNA) management team announced that the Company is launching a new hiring drive for sales professionals as it continues rapid expansion in the United States and international markets including Latin America. "The world is waking up to the vast untapped potential of cannabinoid (CBD) hemp oil and our flagship product, Real Scientific Hemp Oil™ (RSHO™), continues to show increasing demand across the globe," said Dr. Stuart Titus, Chief Executive Officer of Medical Marijuana Inc.
FinancialNewsMedia.com is leading provider of third party publishing & news dissemination services. If you would like more information regarding our news coverage solutions, please visit financialnewsmedia.com for more details. Get an edge on the market with our Premium News Alerts that are FREE for a limited time at financialnewsmedia.com. Follow us on Facebook: facebook.com/financialnewsmedia and Twitter: twitter.com/FNMgroup.
DISCLAIMER: FN Media Group LLC (FNMG) is a third party publisher and news dissemination service provider, which disseminates electronic information through multiple online media channels. FNMG is NOT affiliated in any manner with any company mentioned herein. FNMG and its affiliated companies are a news dissemination solutions provider and are NOT a registered broker/dealer/analyst/adviser, holds no investment licenses and may NOT sell, offer to sell or offer to buy any security. FNMG's market updates, news alerts and corporate profiles are NOT a solicitation or recommendation to buy, sell or hold securities. The material in this release is intended to be strictly informational and is NEVER to be construed or interpreted as research material. All readers are strongly urged to perform research and due diligence on their own and consult a licensed financial professional before considering any level of investing in stocks. All material included herein is republished content and details which were previously disseminated by the companies mentioned in this release. FNMG is not liable for any investment decisions by its readers or subscribers. Investors are cautioned that they may lose all or a portion of their investment when investing in stocks. For current services performed FNMG has been compensated one thousand nine hundred dollars for news coverage of the current press release issued by Seventh Point, LLC by the company. FNMG HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E the Securities Exchange Act of 1934, as amended and such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "may", "future", "plan" or "planned", "will" or "should", "expected," "anticipates", "draft", "eventually" or "projected". You are cautioned that such statements are subject to a multitude of risks and uncertainties that could cause future circumstances, events, or results to differ materially from those projected in the forward-looking statements, including the risks that actual results may differ materially from those projected in the forward-looking statements as a result of various factors, and other risks identified in a company's annual report on Form 10-K or 10-KSB and other filings made by such company with the Securities and Exchange Commission. You should consider these factors in evaluating the forward-looking statements included herein, and not place undue reliance on such statements. The forward-looking statements in this release are made as of the date hereof and FNMG undertakes no obligation to update such statements.
Contact Information:
Company: FN Media Group, LLC
Contact email: editor@financialnewsmedia.com
SOURCE FN Media Group LLC
