Chrystal Capital acts as exclusive advisor to Northern Leaf on £14m fundraise
Chrystal Capital Partners LLP (“Chrystal”), a Mayfair-based entrepreneurial merchant bank, is pleased to announce that it has acted as exclusive financial advisor to Northern Leaf Limited (“Northern Leaf”), a Jersey based medical cannabis cultivator, on its £14m raise via an issue of Convertible Loan Notes (the “CLN Issue”).
The CLN Issue was five times oversubscribed based on the initial target raise of £5m, resulting in the investment being significantly upsized.
The fundraise was strongly supported by five global institutional cannabis investors alongside numerous family offices and ultra-high-net-worth individuals.
The capital raised will be used to make final improvements to Northern Leaf’s current 75,000 sq. ft. facility to ensure it receives both EU-GMP (Good Manufacturing Practice) and GACP (Good Agricultural and Collection Practice) qualifications.
In addition, Northern Leaf will accelerate its capital expenditure program into extraction, manufacturing and formulation equipment and explore strategic partnerships.
Northern Leaf is seeking to become a European market leader in the supply of high-quality EU-GMP grade medical cannabis flower and oil to the rapidly growing European medical cannabis market where patient demand continues to accelerate.
“We are delighted to have advised Northern Leaf, a company that Chrystal have invested in and supported since its inception in 2019, on this highly successful, heavily oversubscribed £14m raise. Our unique cannabis sector expertise, together with our extensive relationships with cannabis investors, continues to deliver much needed growth capital to this exciting, fast growing medicinal industry. Having now completed this second private capital raise for Northern Leaf, taking the total raised to £17m, CCCA will continue to work closely with the management team on a number of strategic initiatives in Europe to add material value ahead of the planned IPO on the London k Exchange.”
About Chrystal Capital Cannabis Advisory
CCCA is the only dedicated Cannabis Corporate Finance advisory team in Europe. CCCA’s team has closed 15 cannabis deals in the last 4 years, raising and advising on over US$445m of transactions in the pharmaceutical, medical, wellness and cannabis sub-sectors across Europe, North America and Latin America. CCCA is actively advising clients across numerous Investment Banking product areas such as IPOs, dual-lists, private capital raises and M&A.
About Northern Leaf
Northern Leaf is a medical cannabis cultivator based in Jersey that, in December 2020, was granted the first UK commercial high THC medical cannabis license since UK based GW Pharmaceuticals (NASDAQ:GWPH) in 1998. The Company is leading the development of a new industry for the British Isles, creating centres of excellence, using state-of-the-art tracking systems and robust policies and procedures to ensure the highest levels of quality from seed to sale.
With a secure, operational facility already built, Northern Leaf will grow commercial quantities of medical cannabis for the rapidly growing European market, including the key markets of the UK, Germany and Israel. For more information about Northern Leaf, please visit https://www.northern-leaf.com/.
For further information please contact:
Kingsley Wilson
Investment Partner
kingsley.wilson@chrystalcapital.com
https://www.chrystalcapital.com