Organic Remedies, a CBD medical cannabis operator based in Pennsylvania, plans to expand its operations by constructing a 240,000 square feet cultivation and processing facility after receiving a $22 million investment capital.
The cannabis medical operator received the financing from Florida-based Advanced Flower Capital, known as AFC Gamma. According to a press release, the credit facilitation offered by ACF is set to roll out in about one year.
The financing of the proposed expansion demonstrates that there is available investment capital in the CBD industry despite hard times.
The credit capital is secured by first-lien mortgages on Organic Remedies, wholly-owned real estate properties, and other commercial security assets. The medical cannabis company is part of Pennsylvania’s chemical MJ research program through a joint partnership with Philadelphia College of Osteopathic Medicine.
Under its Clinical Registrant “CR” medical marijuana license, Organic Remedies plans to add three dispensaries besides the cultivation and processing facility.
The clinical research license enables the CBD cultivator and processor to run a vertically integrated operation with up to six dispensaries.
Founded in Pennsylvania in 2018, Organic Remedies is a single-state vertically integrated medical CBD cultivator and retailer. The company operates under its CR license in partnership with PCOM, which allows it to conduct multifaceted studies to substantiate safety and positive therapeutic outcomes.
Organic Remedies already has three operational dispensaries in Enola, Chambersburg, and York, all located in Pennsylvania.
Mark Togio, Organic Remedies Chief Executive Officer, said after witnessing several recent acquisitions of cannabis operators in Pennsylvania, they believe the state is finally gaining recognition from industry providers as one of the leading medical cannabis markets in the United States.
AFC CEO Leonard M. Tannebaum added that AFC is excited to partner with Organic Remedies as they leverage their agricultural expertise to support what will soon be one of Pennsylvania’s largest cultivators.