Green Acre Capital Fund: A Guide To Investing

Green Acre Capital is a private investment fund that focuses on the legal cannabis industry in Canada, the US, and internationally. The company was founded by entrepreneurs with a strong track record of early success in the Canadian cannabis industry. The fund targets high-growth opportunities in the cannabis sector, including brands, retail, extraction, distribution, software, plant science, hardware, and accessories. Green Acre Capital has deployed over C$100 million into the industry and has invested in dozens of companies across Canada, LATAM, and Europe. The company's two core cannabis funds focus on companies with revenue traction and ambitious growth goals.

Green Acre Capital's focus on the cannabis industry

Green Acre Capital is a private investment fund that focuses on the Canadian medical and recreational cannabis industry. With Fund II, the company has expanded its scope to include investment opportunities in the US and international markets.

The company has deployed over C$100 million into the legal cannabis industry, investing in dozens of companies across Canada, LATAM, and Europe. Green Acre Capital's two core cannabis funds target high-growth opportunities and focus on companies with ambitious growth goals. Their investments span a diverse range of sectors, including brands, retail, extraction, distribution, software, plant science, hardware, and accessories.

Green Acre Capital's approach involves creating a valuable ecosystem of investments across multiple industry verticals. The company has a strong track record of early success in the cannabis industry, leveraging the experience of its leaders and advisors to support the growth and innovation of portfolio companies.

Some notable investments by Green Acre Capital include:

• Leading a $25 million private placement for Fire & Flower Holdings Corp.
• Investing $10 million in cannabis retailer The Friendly Stranger as part of their expansion plan
• Leading a $27.5 million capital raise for Canndescent to fuel new product categories and regional expansion
• Investing in the merger of smoke shop product distributors to form a distribution powerhouse in North America

The fund's diverse range of investments

Green Acre Capital is a private investment fund that focuses on the legal cannabis industry. The fund has a diverse range of investments, with a current focus on companies with ambitious growth goals and revenue traction.

The fund's investments span multiple sectors of the cannabis value chain, including production, research, consumer products, and retail. This includes investments in brands, retail, extraction, distribution, software, plant science, hardware, and accessories.

Some specific examples of Green Acre Capital's diverse investments include:

• Leading Canadian cannabis distributor Humble & Fume Inc.
• Fire & Flower Holdings Corp., where Green Acre Capital acted as the lead investor in a $25 million private placement.
• Canndescent, a Santa Barbara-based company that received $27.5 million in funding from Green Acre Capital to fuel new product categories and regional expansion.
• The Friendly Stranger, a cannabis retailer that received a $10 million investment from Green Acre Capital for its expansion plan.
• Trait, a Canadian cannabis biotech company that raised $12.3 million in private placement funds to develop water-soluble cannabinoid products and advance research on pesticide-free, ultra-high-yield cannabis plants.
• Claybourne Co., a leading California cannabis brand that raised $17.5 million in capital.

GAC's hands-on approach to investing

Green Acre Capital (GAC) is a private investment fund that takes a hands-on approach to investing in the legal cannabis industry. GAC has deployed over C$100 million into this industry, with a focus on companies with ambitious growth goals and revenue traction.

GAC's hands-on approach involves investing in a diverse range of verticals, including brands, retail, extraction, distribution, software, plant science, hardware, and accessories. By investing across multiple industry verticals, GAC creates a valuable ecosystem of investments that fuel growth and innovation.

For example, GAC has led investment rounds for companies such as Canndescent, Fire & Flower Holdings Corp., and The Friendly Stranger, with investments ranging from US$8 million to US$27.5 million. These investments have helped expand cannabis distribution, fund new product categories, and drive regional expansion.

GAC's approach also includes leveraging the experience of its leaders and advisors to help portfolio companies succeed. The firm is led by Managing Directors Matt Shalhoub and Tyler Stuart, and its board of advisors includes Shawn Dym, Lorne Gertner, and Vic Neufeld—all individuals with extensive experience in the cannabis industry.

By taking a hands-on approach to investing, GAC creates value in challenging parts of the cannabis sector and helps portfolio companies navigate the complexities of the industry while driving growth and innovation.

The fund's international opportunities

Green Acre Capital is a private investment fund that focuses on the Canadian medical and recreational cannabis industry. The fund has a current focus on investing in companies with revenue traction and ambitious growth goals. Their two core cannabis funds have invested in dozens of companies across Canada, LATAM, and Europe.

The funds' international opportunities include investments in brands, retail, extraction, distribution, software, plant science, hardware, and accessories. Green Acre Capital has deployed over C$100 million into the legal cannabis industry, with a focus on high-growth opportunities.

One example of their international investment is the US$8 million investment in Humble & Fume Inc., a joint venture to distribute cannabis in the United States, with an initial focus on California. Green Acre Capital has also led international funding rounds, such as the C$4.3 million raise for Green Tank Technologies, a cannabis vape manufacturer.

The benefits of investing in a legal cannabis fund

The legal cannabis industry is experiencing rapid growth, with the global market projected to reach $102.2 billion by 2030. This presents a host of opportunities for investors to benefit from this emerging sector. Here are some advantages of investing in a legal cannabis fund:

High Growth Potential:

The legal cannabis market is expected to grow at a compound annual growth rate of 25.7%, making it one of the fastest-growing industries. This high growth rate is driven by increasing legalization and changing consumer preferences. As more jurisdictions legalize cannabis, the industry will continue to expand, providing investors with significant upside potential.

Diversification:

Investing in a cannabis fund allows you to diversify your portfolio across multiple cannabis companies and verticals. For example, Green Acre Capital, a leading private cannabis fund, invests in a diverse range of sectors within the industry, including brands, retail, extraction, distribution, software, plant science, hardware, and accessories. By diversifying your investment, you reduce the risk associated with picking individual stocks and increase your exposure to the overall growth of the industry.

Access to Innovative Companies:

The cannabis industry is known for its innovation and dynamism. By investing in a cannabis fund, you gain access to a carefully curated selection of companies that are at the forefront of this emerging sector. These companies are often at the cutting edge of research and development, creating new products, technologies, and services that cater to the evolving needs of consumers.

Long-Term Industry Resilience:

Despite short-term fluctuations and regulatory challenges, the legal cannabis industry is expected to demonstrate long-term resilience and sustainability. As public support for legalization grows and the regulatory environment evolves, the industry is likely to become more stable and established. This makes investing in a cannabis fund a long-term play on the increasing normalization and acceptance of cannabis.

Social Impact:

Investing in a legal cannabis fund can also have a positive social impact. By supporting the development of a regulated cannabis industry, investors contribute to reducing the influence of the illegal market and the associated negative consequences. Additionally, a thriving legal cannabis sector can create new job opportunities, stimulate economic growth, and generate tax revenues that can be used for social programs.

In conclusion, investing in a legal cannabis fund offers investors exposure to a high-growth industry with significant upside potential. While there are risks and challenges, the benefits outlined above make a strong case for considering this emerging sector as part of a well-diversified investment portfolio.

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