When we spoke with Ambrose Jackson this June, he said, “I want people to see what we’re doing and creating and the level of authenticity we bring to the table, and for others to want to be a part of it.”
It looks like the CEO got his wish. In a true win for equity, The 1937 Group just announced it secured a whopping $17M in new funding. The company closed a binding financing agreement with the private investment group, SGG Enterprises LLC.
Owned and operated by a collective of six people of color, The 1937 Group was conceived as a parent company for multiple Illinois cannabis companies, which so far include a 52,000-square-foot cultivation operation that’s currently under construction (Helios Labs), a retail operation (Parkway Dispensary), and a cannabis transportation company (Highwaymen Security). The new funds will be used for the build-out of current assets, and for the purchase and development of additional Illinois cannabis establishments.
The company is currently in the process of securing an additional craft grow license and four more Illinois retail dispensary licenses.
“It is important that we capitalize as the leading social equity entrant in the Illinois regulated cannabis market,” said Jackson. “During these times, when venture markets have seemingly dried up, our ability to secure capital and consummate this deal is a great indicator that we have the right team and the right strategy in place, and that we can execute on our vision of becoming not only one of the first new operators to the market, but also one of the most impactful.”
The terms of the agreement establish a disbursement schedule of $13M in equity shares and $4M as a debt note.