Ackrell Capital, based in San Francisco, is an M&A advisory and financing firm that will soon be launching a venture fund targeting the cannabis industry. Shannon Soqui, its Head of Cannabis Investment Banking, had alluded to a pending report on the cannabis industry in late December, and the company published the 118-page report “The Green Gold Rush” today.
The research piece covers a lot of background for the industry, including an overview of the basics of cannabis, the legislative landscape, and legal issues for investors to consider. One of the more interesting aspects of the report is the forecast of the size of the industry, which is based upon a 2020 end to federal prohibition. Ackrell Capital expects the legal market to rise to almost $10 billion by 2019 and then really take off following legalization. The company forecasts a $50 billion market within a decade for recreational and medicinal cannabis, but it also expects to see a very large pharmaceutical component that accounts for half of the overall forecast of $100 billion in 2029.
Finally, the firm also listed its “Top 100 Private Cannabis Companies”, many of which we feature here at New Cannabis Ventures, like Dixie Brands, HelloMD, Mary’s Medicinals, Steep Hill and Vireo Health. It provides a brief description of each of the companies.
The cannabis industry is still in a very early stage of development and the investment risks are not inconsequential. Deciding if, when and how to invest in the cannabis industry will not be easy. Ackrell Capital has prepared this report to assist prospective sophisticated investors in this process.