Milestone Cannabis Tech Deals & Valuations in Q4
The tech sector in cannabis kicks into high-growth with lead participation from traditional VC & PE firms. PS: Don't forget to listen to our đď¸ podcast feature in this Roll Up!
Fresh Funding
Your monthly recap on recent early stage funding, M&A, and exits in the cannabis market in North America.
Data analytics company Headset raises $3MM, bringing its total capital raised to date to $8.6MM.
HervĂŠ, a high-end infused edibles brand and maker of gluten-free French macarons closes $3MM Series A for product and market expansion.
SF based startup Pistil Data closed one of the biggest seed raises in the industry at $6.5MM, using data to help cannabis brands figure out how to target and boost sales.
Claybourne Co., a California cannabis brand recently announced a $17.5MM of new funding compromised of a $10MM Series A equity raise and $7.5MM of debt financing.
POS company Flowhub raises $19MM in strategic funding from Headline, Poseidon Asset Management, and Jay-Z, bringing itâs valuation to over $200MM.
After spinning off from alcohol delivery platform Drizly (acquired by Uber), cannabis delivery co. Lantern raises a $40MM growth round. Theyâre currently operating in Massachusetts, Colorado and Michigan.
Chicago based marketing compliance tech co. Fyllo raises a $40MM Series C by Eminence Capital, Capital Advisors and ArrowMark Partners to scale sales and operations. This financing round follows their $30MM Series B in Q2 2021.
After raising a $100MM Series C in Q1 2021 at a $1.7B valuation, Dutchie becomes the fastest-growing technology platform, doubling itâs valuation to $3.75B with their $350MM Series D. They have 500 employees across 40 US states and Canada.
Leading publicly traded MSO Curaleaf acquired Los SueĂąos Farms, the largest outdoor grower and biomass producer in Colorado. Terms were not disclosed. Curaleaf currently operates in 23 states with 109 dispensaries, 22 cultivation sites and over 30 processing sites, and employs over 5,000 team members.
Leading MSO Verano makes several acquisitions in Connecticut with Caring Nature, Connecticut Pharmaceutical Solutions, and Willow Brook Wellness. Expanding their national footprint to 89 dispensaries across 12 states, 10 of which are vertically integrated, while surpassing the 1,000,000 sq. ft. mark of total cultivation capacity.
Canadian giant Canopy Growth announces plans to acquire North Americaâs top edible brand Wana Brands for $297.5MM upon federal legalization.
Must Reads
The most important news worth reading and events worth going to.
Uber Enters The Industry With Tokyo Smoke in Canada
Cannabis Retailer Tokyo Smoke and Uber Eats partners to offer cannabis online orders and pickup in Canada. This is one of many giants that have been itching to get into cannabis.
10 Key Business Takeaways from MJBizCon
If you missed the big show in Las Vegas, check out the insights and tips from the MJBiz staff. The spark notes:
Oversubscribing on fundraising > undersubscribing
Donât underestimate hemp-derived CBD,
Donât ignore Canada
Hall of Flowers, Palm Springs // Dec. 8-9
Our favorite B2B show focused on retailers and brands will be hosting its first ever SoCal show. Unfortunately our team wonât be attending this year but our friends will! Reply to this email for an invite to some exclusive events.
NCIA Business Summit & Expo, San Francisco // Dec. 15-17
The National Cannabis Industry Association will be hosting its 7th Annual Cannabis Business Summit with the launch of, âBLOOM: A Brands Experienceâ on the expo floor. As a slight replica of Hall of Flowerâs expo floor, attendees can see, touch, and smell products from dozens of CA brands.
CannaVest West, San Francisco // Dec. 15-17
The investment forum portion of NCIAâs Cannabis Business Summit & Expo that is held simultaneously at the same location.
Fund Updates
The latest updates from our team and portfolio companies.
đď¸ PODCAST #1: Helene Servillon on cannabis obstacles and tailwinds
Helene joins the Confluence VC team to talk about the problems that alcohol, pharma, and CPG donât address, what makes a cannabis business investible, and obstacles and tailwinds for the cannabis industry.
đ¤ PODCAST #2: Leaf Trade CEO James Yi on solving inefficiencies in the cannabis supply chain.
James is a stand up founder who was recently named 40 under 40 by Marijuana Ventures. Tune into his podcast as he shares about his background building one of the industryâs leading B2B ordering and fulfillment platforms.
J1 Team Spotlight
Each month we spotlight talent from our team and community.
Heather has been an industry operator and investor for 7 years and was the Executive VP of TerrAscend (TRSSF), a billion dollar market cap cannabis multi-state operator, leading the M&A team to close 4 acquisitions in excess of $350MM. Former board member of Sunday Goods/The Pharm and successful winner of dispensary licenses in Maryland, Arizona, New Jersey, and Utah.
Connect with Heather on LinkedIn.
Founder Resources
Check out our free resources below and the full list on our website here.
Calling All Social Equity Business Owners
Apply to Momentum, an accelerator created by Eaze to support and empower underrepresented founders and social equity business owners. Applications are now open and includes a $50,000 grant, training, mentorship, and access to investors.
Free Cap Table Management Tool
A full-lifecycle cap table management solution for planning, managing, and collaborating on startup equity.
For Kicks & Giggles
A section full of fun. Thatâs why we work in cannabis, right?
Cinelounge Cannabis Club. Relax and unwind at the world's first cannabis-infused movie lounge with on-site consumption. Weed + outdoor movies + snacks = best combo EVER. Located in Hollywood, CA.
Remember gravity bongs? We found you the fanciest one of them all. StĂźndenglass makes glass gravity infusers propelled by kinetic energy.
The Cannabis Instagram? Weedmaps and Cookies Founder plan to launch a social media platform, describing it as the âInstagram of Marijuana.â