August 25, 2016

Diversified, global cannabis company, Forma Holdings announced the launch of a new cannabis-focused investment vehicle, Anthos Ventures.

The fund will account for one third of Forma Holding’s three-division holding company, with the other two divisions being Retail and Cultivation, which will be responsible for the acquisition and operation of medical cannabis assets along the value chain, and Pharmaceutical and Life Sciences. Anthos Ventures will also develop research programs in partnership with academic institutions for the development of intellectual property that will drive the commercialization of new cannabinoid-based medicines.

Cornerstone investors in the fund include Harborside Health Centers, a leading retail medical cannabis chain and operator of the highest grossing dispensary in the world; FLRish, a major California-based cannabis cultivation company; The ArcView Group, the leading cannabis-focused industry research firm and angel investment network; and Indus Holdings, a leading U.S.-based producer and distributor of cannabis-infused products.

Founded in 2016 and with offices in Los Angeles and London, Forma Holdings claims a management team comprised of executives with experience in pioneering tech businesses, blue-chip financial firms, and top management consulting firms – all of which “bring a set of skills, relationships, and a perspective on the global cannabis market that is unparalleled,” according to the company.

“We believe Anthos’ deep domain expertise, professional management and strategic capabilities, and extensive global network provide a unique proposition to the ambitious entrepreneurs we meet; and Anthos is proud to announce a no-fee fund structure which fully aligns our managing partners’ incentives with our investors’ goals and expectations,” notes Tarek Tabsh, Managing Partner at Anthos.

The investment space in the legal cannabis sector is rapidly becoming more crowded as the industry shows signs of mounting maturation. State-level legalization of recreational and/or medical marijuana has now spread to 24 U.S. states, with five more states voting this fall on the matter. This adoption is driving the sector to achieve greater recognition as a viable space for investment and growth. The legal marijuana industry is expected to see sales of $6.7 billion this year compared to sales of $5.4 billion last year, according to ArcView Market Research, reports Market Watch, and if key states such as California join in legalization, sales could top $25 billion.

Just this summer, Chicago-based venture capital firm, Salveo Capital announced the re-launch of its cannabis-focused Savleo Fund I. Seventh Point, a Connecticut-based private equity firm focused on investing in legal medical marijuana cultivation and dispensary assets in the state of California, announced that its $750,000 friends and family round of fundraising has closed oversubscribed, and North American legal cannabis management company, MedMen, announced it is launching the $100 million MedMen Opportunity Fund. In addition, Jim Hagedorn, CEO of Scotts Miracle-Gro, announced his plans for investing $500 million in the legal cannabis space by the end of this year.