Pots of money put to good use — financial, medical and recreational — in pot
Los Angeles — A private equity fund co-chaired by a former BlackRock executive is planning to raise $250m to invest in marijuana businesses in places such as Los Angeles, Las Vegas and midtown Manhattan. MedMen Opportunity Fund II, which looks for companies that cultivate, manufacture and sell pot, is setting up operations in the nation’s most popular tourist destinations. The effort is timely because New York recently added chronic pain as a qualifying condition for medical marijuana, California’s recreational market opens in 2018 and Nevada legalised adult weed use in July. Reaching MedMen’s $250m goal would mark one of the biggest investments yet in the nascent marijuana sector, which is still shunned by financial institutions skittish about a product that’s illegal under federal law. The industry is barred from most traditional banking services and faces political uncertainty from the Trump administration, where attorney-general Jeff Sessions is an ardent foe of state-sanctioned...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.