Three Concentric Circles
The legal cannabis market broadly breaks up into recreational and medical users. The industry falls into three concentric circles.
The first circle consists of producers, processors, and suppliers (dispensaries). These companies grow plants, process them, and sell plant-based products.
The second circle consists of companies that produce technologies and products that support the first circle either directly or peripherally. These companies produce seeds, soil, lights, hydroponic equipment, fertilizers, growing medium, containers, software for managing seed to sale, infrastructure, environmental control systems, etc.
The third circle consists of businesses that focus on the individuals who are directly or indirectly part of this industry such as investors, for example. These businesses include social media sites, cannabis dating sites, cannabis information providers, magazines, and cannabis-related media and technology.
We are poised, when the federal laws permit, to focus on businesses and business models that can advance the legal cannabis industry. We will take equity positions in companies that are in the second and third circles described above. For example: we are building indoor vertical farming facilities that can produce organic leafy green vegetables by utilizing advanced pesticide-free organic indoor farming technology. These facilities can be converted to provide us with a footprint in markets where we can eventually grow legal cannabis and extract cannabinoids. This will allow us to control the quality of ingredients that can eventually be used for our pharmaceutical and nutraceutical efforts.