Bright news for Redfund Capital (CSE:LOAN) on Tuesday, after it announced its launch as one of the first medical cannabis merchant banks. The company is now listed on the Canadian Stock Exchange.
Redfund is one of the first medical cannabis merchant banks, with an aim to become a global top-tier medical cannabis incubator and accelerator providing debt and equity funding instruments to companies, which require project-specific financing.
“The first focus of our merchant bank will be the financing of medical cannabis, CBD and hemp companies. Our initial portfolio companies will be announced in the next week, and we believe their strong business fundamentals and upside potential will bring immediate value to our shareholders,” said Meris Kott, CEO, Redfund Capital Corp.
Redfund’s merchant bank will provide an alternative source of capital through loans to bridge finance and help medical cannabis-focused companies build valuation, and grow their business without diluting equity prematurely.
The merchant bank is positioned to nurture its portfolio companies towards organic growth, public listings, and merger and acquisition strategies, through its incubator model.