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Hemptown USA Closes CAD $23M Capital Raise

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Hemptown Organics Corp. is a multi-state hemp operation doing business as Hemptown USA, announces the completion of a CAD $23,240,000 round of financing, which closed May 10, 2019. Canaccord Genuity Corp. acted as lead agent on the brokered portion of the financing on behalf of a syndicate of dealers that included Sprott Capital Partners LP, Beacon Securities Ltd., and PI Financial Corp. In concert with existing revenue and capital, the financing enables Hemptown USA to embark on a multi-state expansion; purchase USD$5.5 million worth of Oregon CBD (cannabidiol) seeds; begin the build-out of Hemptown USA's processing and extraction facilities and research team, and initiate planting and harvesting of Hemptown USA's 2019 crop of feminized hemp seeds.

With this capital infusion, Hemptown USA is endeavoring to become a formidable multi-state operation within the rapidly growing hemp industry. As a byproduct of growing high-grade feminized hemp, Hemptown USA is proposing to processes full spectrum CBD and CBG crude and distillates, achieving higher yields versus industrial hemp. Hemptown USA’s competitive advantages include, but are not limited to: “Successful companies in this sector will be those with the ability to build a scalable, vertically integrated multi-state company,” stated Rod Wolterman, founder and chairman of Hemptown USA. “We have assembled a well-respected team that has already produced some of the highest quality feminized hemp in the country here in Southern Oregon’s Emerald Triangle. The capital infusion will allow us to expand operations to Colorado, Kentucky and Northern California, ramp up processing capabilities and develop disruptive product formulations in the CPG sector. We are excited to execute on our vision and delivering sustainably-grown feminized hemp flower and biomass on a commercial scale.”

About Hemptown USA

From the rich soils of Southern Oregon which resides at the tip of the Emerald Triangle, Hemptown USA is growing some of the finest high cannabinoid hemp plants in the world. Following an impressive first year yield, Hemptown USA is scaling up its operation to meet the ever-increasing global demand for cannabinoid products. With the expanded farmland and in-house extraction/processing facilities Hemptown USA is now positioned to vertically integrate into the consumer packaged goods sectors with top quality-branded product lines for the consumer market, Hemptown USA’s vertically integrated business model is well-positioned to capitalize on a global market expected to exceed $22 billion by 2020. For more information visit: www.hemptownusa.com.

Company Contact Zayn Kalyan zayn@hemptownusa.com 778-938-3367

 

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