Entrepreneur Jay-Z, Beckham, Rihanna … When the stars invest in cannabis

Jay-Z, Beckham, Rihanna … When the stars invest in cannabis

It’s not just stock marketers who bet on cannabis. The stars also see juicy opportunities. The latest is none other than former footballer David Beckham. Through his company DB Ventures, he acquired a minority stake in Cellular Goods, a British company specializing in dermatological products containing synthetic cannabis. It plans to list in London in the coming weeks with a valuation of around $ 27 million.

In the United States, the stars are generally much more involved. Rapper Jay-Z, real name Shawn Carter, recently became The Parent Company’s “chief visionary” after the takeover of his marijuana brand by a Canadian utility, Subversive. The deal, closed in mid-January, saw Subversive absorb two of the major players in the industry in California for just over $ 420 million in shares, forming the state’s largest producer and distributor. Alongside him, other artists from his label Roc Nation have invested in The Parent Company, including singer Rihanna and DJ Khaled.

Social impact investment fund

Jay-Z is a serial entrepreneur – he had notably started the Tidal streaming service. It relies on its image to differentiate the products in a still largely fragmented sector (more than 1,000 brands in California). The rapper also negotiated the constitution of a $ 10 million impact investment fund, dedicated to supporting minority-owned businesses in the sector, which will receive 2% of the group’s net profits. While Jay-Z’s Monogram brand focuses on high-end cannabis flower, other stars have taken an interest in the entire industry.

Martha Stewart, who for a long time embodied the ideal of the modern housewife on American screens before seeing her image tarnished by legal troubles, joined forces with Canadian producer Canopy Growth to launch a food brand last September. infused with CBD, one of the active ingredients in cannabis. A success according to the company, which prides itself on having beaten 94% of its competitors during its first four months of existence. CBD kibble for stressed pets was quickly added to candy.

But not all stars are successful. Actress Whoopi Goldberg embarked on the adventure with Whoopi & Maya in 2016, which targeted the market for women with painful periods. However, it was unable to adapt to the opening of the recreational market in California in 2018 and went out of business early last year.

Solidarity with entrepreneurs

In this difficult period, entrepreneurs and managers of VSEs and SMEs need support more than ever. The Les Echos Entrepreneurs site is making its contribution by offering free information and testimonials for the coming weeks.
>>> To stay informed of entrepreneurs and startups news,
remember to subscribe to our daily newsletter

and / or the weekly newsletter Goodbye to the crisis!

Leave a Reply

Your email address will not be published. Required fields are marked *