Cannabis-focused merchant bank Redfund Capital Corp (CSE:LOAN) outlined its vision for next year, saying it wanted to have a portfolio of 20 companies with $75 million that it had injected via its loans.
The company has already extended funds for five signed promissory notes and has over 11 companies in the pipeline at various stages of due diligence, it noted in the update.
The return on investment on any new emerging market tends to be a year or more down the line, it noted, adding that cannabis globalization is already here and will only expand in the coming year.
"The hot IPO [initial public offering] scenario is actually still in its infancy for the medical cannabis industry as it mainstreams, and we are looking forward to our portfolio companies being leaders in the public markets," said Meris Kott, chief executive of Redfund.
Redfund's loan portfolio as at November 5 this year is as follows:
- Biolog Inc. - a cannabis infusion technology company, based in Silicon Valley, California, that has developed a patented system to infuse food and beverages with cannabis.
- Biominerales Pharma Colombia - a trailblazer in Colombia medical cannabis that has the trifecta of licences in Colombia allowing the company to grow, process and export CBD oil beyond South America
- Mary's Wellness Ltd. - founded by Virginia Vidal, a cannabis beverage trailblazer and a global medical cannabis influencer with a current product line of 100-per-cent-organic items focused on medicinal cannabis.
- Winterlife Inc, which has close to $3-million in sales through 600 dispensaries and has just launched the WinterlifeCBD product line that is free of THC (tetrahydrocannabinol), is 100 per cent organic, vegan and gluten-free.
- RxMM Health Care -- a division of RxMM Health Capital involved in the manufacturing of CBD over-the-counter medications, and Alzheimers Defense, a proprietary, CBD-infused all-natural nutraceutical product.
Redfund Capital shares are up over 3% in Toronto to stand at $0.50.