Love Hemp has raised £2m in an oversubscribed share sale to make the company more efficient and reduce cash outlay.
The commercial cannabis product maker said it sold 206 million new shares to investors for 1p a share with dealing due to start on 14 February.
Love Hemp announced the fundraising on 4 February and said it would use the money to consolidate its business in new facilities and combine jobs to make the business more efficient. Chairman Andrew Male and Chief Executive Tony Calamita will be paid in shares until 30 June at the earliest to conserve cash.
The company, which makes hemp oil and other health products from cannabis, will also use the cash to support its move to the main London market from the Aquis exchange, with the change scheduled to take place by the end of the first quarter.
Andrew Male, Love Hemp’s chairman, said: “Love Hemp’s successful oversubscribed fundraise is fantastic result and is a great show of confidence in the group and the direction that it is heading as we move to the main market. The funds raised will assist us in continuing with the marketing initiatives and streamlining of various operational aspects of the business.”
