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CULTIVATED: CBD pitch deck — Cannabis and heart health — SPAC hype

Aug 7, 2020, 23:09 IST
Business Insider
Crystal Cox/Business Insider

Welcome to Cultivated, our weekly newsletter where we're bringing you an inside look at the deals, trends, and personalities driving the multibillion-dollar global cannabis boom.

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Happy Friday everyone,

We've got another quick edition this week as we prep for a slew of cannabis earnings next week. I'll be speaking with execs at Canopy Growth, Green Thumb Industries, Trulieve, Terrascend, and potentially a few others next week — let me know what you'd like to ask them.

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Beyond that, we've got a few more great stories in the hopper, so look out for those.

-Jeremy

Here's what we wrote about this week:

We got an exclusive look at the presentation that wellness startup B Great is using to raise $2.5 million to chase down the $2 billion CBD market

Barbara Goodstein, the founder of CBD startup B Great, shared the pitch deck she's using to raise $2.5 million.

She's closed on $1.5 million in equity financing already, and she's looking to raise another $1 million in convertible notes. She told Business Insider she's brought in $450,000 of that already.

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Check out the deck here.

Smoking or vaping cannabis could trigger heart attacks and palpitations

In a new letter, American Heart Association doctors advised against smoking and vaping cannabis because it could contribute to heart-health problems like heart palpitations and heart attacks.

The doctors said current cannabis users should avoid black-market products and consider using edible or topical cannabis products because they're less likely to cause heart damage.

Cannabis, space travel, and electric cars: These far-out fields championed by SPACs could trigger the power of hype to spur new eras of innovation, one VC says

SPACs are on the rise, and they have developed an interest in "hype'' sectors: cannabis, space travel, electric cars, and sports gambling.

Some hyped-up companies demonstrate a potential for growth, but remain unprofitable, whereas other hyped-up companies belong to industries that investors generally avoid, like gambling.

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But hype is actually a powerful creative force in the longer arc of tech innovation, says one VC, and funding hyped-up ideas can draw in fresh talent and lead to further innovation.

Executive moves

  • TerrAscend has appointed Jason Marks as chief legal officer. Marks joins the company after serving as the general counsel of InflaRx N.V., a biotech firm. TerrAscend also reported earnings on Thursday.

Deals and launches

  • Fintech startup Spence Labs launched Spence, a cashless payment app for cannabis dispensaries. The app lets customers pay for cannabis through their mobile phones, and will be rolled out in all Pharmacann dispensaries in the coming months.
  • Colorado CBD and hemp processor Mile High Labs closed a Series B financing round, led by billionaire Paul Mitchell and Patron founder John Paul DeJoria. Financial terms of the rounds were not disclosed.
  • WeedMD is partnering with Mary's Medicinals to distribute Mary's Medicinals products in Canada.

What we're reading

Green rush: The incredible rise and collapse of LA's genius fund, an $164M cannabis startup (dot.LA)

Cannabis, lies and foreign cash: A mother and daughter's journey through the underground mask trade (ProPublica)

The pandemic is eating away at the illicit marijuana market (Politico)

India has the world's biggest cannabis industry that doesn't exist yet (Quartz)

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My mom secretly made pot Brownies for AIDS patients and it changed my life (Huffpost)

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