Hemptown USA Raises $17.2 Million

Hemptown Organics Corp, a multi-state hemp operation doing business as Hemptown USA, has announced the completion of a $17.2 million round of financing, which closed May 10, 2019.

The financing enables Hemptown USA to embark on a multi-state expansion, purchase $5.5 million worth of CBD seeds, begin the build-out of processing and extraction facilities and research team, and initiate planting and harvesting of 2019 crop of feminized hemp seeds.

The company raised the capital with the involvement of Canaccord Genuity as the lead agent on the brokered portion of the financing. Investors include Sprott Capital, Beacon Securities and Pacific International.

In the next three years, Hemptown said it will focus on farming more novel cannabinoid strains. The company is also eyeing an entry into the consumer packaged goods sector by building and acquiring brands.