Investment success continues with additional US $37 million for Canadian Bioceutical Corporation
Following the previous oversubscribed US$27 million private placement in January 2017, Chrystal Capital has raised a further US$37 million through a mixture of US$25 million debt and US$12 million equity for Toronto based, Canadian Bioceutical Corporate (BCC).
A vertically integrated and established legal medical marijuana business, and listed on the Canadian Securities Exchange and the US OTC, BCC has embarked upon an aggressive growth strategy that combines organic growth with acquisitions to become a branded multi-state marijuana operator.
Since the first acquisition in Arizona in January, the company has subsequently acquired (or is acquiring) a further two dispensaries in Arizona, as it continues to consolidate one of the leading marijuana states in the US. It has also started to expand nationally, making acquisitions in Massachusetts, Nevada and Maryland (pending), markets with combined projected sales of US$1.9 billion p.a. by 2020.
“Having financed BCC with US $64 million of expansion capital to date, we expect BCC to become one of the largest and most profitable players in the fast growing and exciting North American marijuana space.”
The focus is to build a highly profitable business with a footprint across the most attractive marijuana states in the US, that will ultimately attract larger purchasers such as big pharmaceutical, alcohol or tobacco companies. The speed of progress to date, both in terms of acquisition origination and execution, is a strong endorsement of the management team’s capabilities.
“We are delighted to have raised a further US$37 million of growth capital following so quickly following on from the US$27 million raised by Chrystal Capital in January this year.”
Furthermore, BCC operates best-in-class extraction technologies, which enabled it to win the coveted 2016 Jack Herrer Cup for best hybrid concentrate.
Chrystal Capital’s Special Situations team advises on private and public transactions with an emphasis on bespoke, esoteric opportunities demonstrating profitability and strong return potentials.