Freetown, MA AmeriCann, Inc., an agricultural-technology company that is developing the next generation greenhouse cannabis cultivation and processing properties, has closed an all equity financing offering with total proceeds of $3.819 million.
The proceeds from the $3.00 per share equity financing will be used for construction at the company’s Massachusetts Medical Cannabis Center (the MMCC) development. AmeriCann is preparing to release the general contractor and project management team for the first phase of the MMCC development in the midst of the rapidly growing Massachusetts medical and adult-use cannabis market.
In 2015, AmeriCann identified that Massachusetts did not have adequate cultivation and processing infrastructure in planning or development. With that knowledge, AmeriCann designed the MMCC on a 52-acre parcel of land by securing site plan approval and all the entitlements for 987,000 s/f of cannabis cultivation and processing infrastructure. The MMCC project will be developed in phases and is expected to be one of the most technologically advanced cultivation facilities in the nation.
Reports of product shortages in the Massachusetts market are beginning to surface in media publications such as the Boston Globe and Marijuana Business Daily. The lengthy design, permitting and cannabis licensing process in Massachusetts creates a significant barrier for new projects entering the market.
“Almost all the cannabis being produced in Massachusetts is from converted warehouses with 100% artificial light, high energy costs and huge carbon footprints.” Said Tim Keogh, AmeriCann’s Chief Executive Officer, “Our purpose-built facilities can produce superior sun grown cannabis products year-round in a controlled environment at a lower cost and with a far less carbon footprint than warehouse growers. This is the first phase of an extensive project designed to help the Massachusetts cannabis industry reach its full potential.”
The Commonwealth of Massachusetts has begun awarding licenses to businesses that will provide cannabis access to consumers over 21 years of age in addition to the existing medical cannabis market. Industry experts believe it will become the epicenter for cannabis innovation and research for the entire northeast US with annual sales of over $1.2 billion by 2021.
GVC Capital LLC of Greenwood Village, Colorado was the exclusive agent for the financing. For additional information on the financing, please see the Company’s Form 8-K report filed July 17, 2018.
AmeriCann is a publicly traded agricultural technology (Ag-Tech) company that is developing a new generation of sustainable, state-of-the-art medical cannabis cultivation and processing properties.
AmeriCann, Inc. is a Certified B Corp, an acknowledgment of the Company’s commitment to social and environmental ethics, transparency and accountability. AmeriCann became the first public cannabis company to earn this respected accreditation.
AmeriCann’s flagship project, The Massachusetts Medical Cannabis Center, is approved for nearly 1 million s/f of medical cannabis cultivation and processing in Freetown, Mass. The sustainable greenhouse project will consist of multiple planned phases for tenants in the Massachusetts medical marijuana market. Voters in Massachusetts approved legalizing the adult use of recreational marijuana in November of 2016.
AmeriCann’sCannopy System uniquely combines expertise from traditional horticulture, lean manufacturing, regulatory compliance and cannabis cultivation to create superior facilities and procedures. The Company is planning to replicate the Cannopy platform in additional states.