Seattle based Privateer Holdings now has over $100 million that they are expecting to invest into the cannabis industry in the future, and more appears to be rolling in as well. The company, which started off with only 9 people, has become one of the most successful cannabis industry businesses since adult use was first legalized in Washington and Colorado in 2012. With 9 states looking to legalize cannabis at some level, either medicinally or for adult use, the company has been raising money to expand along with spreading legalization.
Since 2011 the company has raised $122 million and they have exclusive deals with three different brands – Leafly, Tilray and Marley Natural – all of which have the potential to bring in millions over the next several years. Leafly is a combination news outlet and strain and dispensary review/locator website and mobile app that has become a staple for many cannabis users in states where it is legal. Tilray is a Canadian medical marijuana company, which could possibly see growth outside medical marijuana if Canada sticks to their goal of legalization in 2017. And of course, we know Marley Natural as the cannabis brand that is associated with Bob Marley and endorsed by his family members.
“For us, it’s a huge milestone, but it’s a milestone for the industry as a whole,” said Kennedy, who left Silicon Valley Bank to start the firm six years ago.
As legalization becomes more prevalent across the United States, more and more states will choose to go with a regulated commercial industry. At some point, we may even see the government step in, similar to what is expected to happen in Canada in the next year. When that happens, Privateer Holdings is going to be ready to invest in businesses and spread their brands – creating recognizable brands across the nation.
“Cannabis is a mainstream product consumed by mainstream people around the world,” Kennedy said in an interview at his Seattle office. “And because of that, the end of prohibition (in the U.S.) is inevitable.”
With nine different states set to legalize cannabis – five looking to allow adult use and a commercial market and four more looking to legalize medicinal cannabis for the first time – Privateer Holdings will definitely have their pick of where to invest their money if all goes well.