Med-X declared this week that its StartEngine equity crowdfunding offer was already “full steam” ahead. The offer is now accepting investors.
Back in February, the Med-X received SEC approval to raise funding under Regulation A+. The company considers itself the first company engaged in cannabis cultivation and technologies that met the SEC’s requirements.
President of Med-X, Matthew Mills, stated:
“We’ve seen how crowdfunding has provided momentum to startups from other industries, and we strongly believe that it can do the same for the cannabis industry. Recent reports also point to crowdfunding surpassing venture capitalism to the tune of $34 billionthis year, so the outlook is immensely positive.”
Since its launch on StartEngine, Med-X’s initiative has received indicated interest from over 1,176 investors equating to $3.7 million. Med-X CEO Dr. David Toomey commented:
“We are offering this chance to reserve shares through an equity crowdfunding campaign to give all Americans the chance to be a part of a positive phase in the rapidly evolving cannabis industry. We see tremendous growth potential for the industry at large with both medical and recreational users, as well as a tremendous need for products that the public can trust not to be contaminated with pesticides, mold, or other problematic substances.”
Funds from the initiative will be used for the following:
- Acquisition, creation and publication of content for MarijuanaTimes.org
- Marketing and promotion of their products
- R&D of medical marijuana
- A planned Cannabis Pharmacy for 2016
- Acquisition of indoor and outdoor property for legal marijuana farming
- G&A expenses
- Legal and working capital
Med-X currently subleases approximately 2,500 square feet of office space in Canoga Park, California 91304. It will also occupy a 600 square foot indoor Cannabis cultivation research facility in West Hills, California where it grows different strains of Cannabis and are currently researching growing techniques and practices
The company also revealed that it is currently developing an all-natural and safe insecticidal soil that can significantly reduce marijuana crop maintenance costs for licensed growers. The soil incorporates the company’s product, Nature-Cide, is described as a highly effective all-natural insect killer that can be used for marijuana crops to increase yields, and will be available in the third quarter of 2016.
Med-X did not update on the amount raised by investors to date. The offering circular is available here.
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