Yesterday, Elixinol Global (ASX: EXL) (OTC: ELLXF) requested that trading be halted in connection with a capital raise, with the expectation that the halt might last though June 5th. This evening, the company announced that it has raised A$50 million, selling shares at A$3.90 in a deal led by Bell Potter Securities.

I acknowledge the strong support of new and existing institutional investors to accelerate the Company’s expansion in the US and globally. We are witnessing an unprecedented positive shift in consumer appetite for CBD and hemp derived products.

Paul Benhaim, CEO of Elixinol Global

Elixinol plans to double its current production capacity in the US. Further, by securing additional raw materials, the Company will be well positioned to accelerate the growth of Elixinol branded CBD products and strategic opportunities.

This is the third and largest capital raise for the company, which completed an IPO in late 2017 at A$1.00, raising A$20 million. In September, it raised A$40 million, selling shares at A$1.85. The stock traded as high as A$5.93 in April.

Published by Alan Brochstein, CFA

Based in Houston, Alan leverages his experience as founder of online community 420 Investor, the first and still largest due diligence platform focused on the publicly-traded stocks in the cannabis industry. With his extensive network in the cannabis community, Alan continues to find new ways to connect the industry and facilitate its sustainable growth. At New Cannabis Ventures, he is responsible for content development and strategic alliances. Before shifting his focus to the cannabis industry in early 2013, Alan, who began his career on Wall Street in 1986, worked as an independent research analyst following over two decades in research and portfolio management. A prolific writer, with over 650 articles published since 2007 at Seeking Alpha, where he has 70,000 followers, Alan is a frequent speaker at industry conferences and a frequent source to the media, including the NY Times, the Wall Street Journal, Fox Business, and Bloomberg TV. Contact Alan: Twitter | Facebook | LinkedIn | Email