Privateer Holdings is one of the world’s largest marijuana investment companies and it has recently closed a record deal. It will use $75 million from a January round of Series B funding to expand its current cannabis footprint and bring in more potential acquisitions.
One of the largest contributors to the Series B funding for Privateer Holdings comes from a surprising source: Peter Theil. One of the co-founders of Paypal, he has put in a multi-million dollar stake through Founders Fund.
In just 4 years, Privateer Holdings has raised a total of $82 million now for legal marijuana. What has shifted to create 10x more funding in the latest efforts than in the last 3 years? Changing attitudes toward marijuana and the successes that Colorado and Washington are seeing.
The company is already widely influential in the marijuana industry. They run one of the largest federally licensed research and growing facilities for marijuana in the world. They have a mail-order medical marijuana operation in Canada. They are also owners of Leafly, the established Yelp-type app of marijuana.
By 2018, legal marijuana is expected to be a $10 billion business in the United States. With $75 million in funding, Privateer Holdings is going to be the foundation that this billion dollar empire will be built upon. No other investors have been named, but one exciting project looks to be out by the end of the year: Marley’s Naturals, a line of legal cannabis products that includes lotions and other accessories named after Bob Marley.