Greencare posts loss after pandemic and legislation hit investment opportunities

Medicinal cannabis investor Greencare Capital posted a loss for the past year as it warned that the pandemic and legislative changes hampered the progress of some of its investments.

The Aquis-listed business, which floated in 2019, told investors that it delivered a £427,000 loss for the year to October 31.

It said that, since early last year, the spread of Covid-19 and legal updates “significantly impacted the rate of progress that the company has been able to make in advancing the several investment opportunities” it referred to in its float plans.

Greencare said it had therefore decided not to go ahead with certain investments after further due diligence.

However, the group has pushed forward with a number of investments recently, including a £100,000 investment in CBD brand Clearly.

Last week, the business also completed a similar £100,000 investment in Voyager Life, a health and wellness brand focused on CBD and hemp oil.

Voyager has itself started the process to list on the Aquis market.

Greencare Capital chief executive Fabio Carrette said: “The directors strongly believe that the market sector which the company is focused upon investing in is going through a very exciting, transitional period.

“At the same time, they also believe that the company is well placed to deploy funds in line with the company’s stated aims and that these investments in Clearly and Voyager demonstrate the exciting opportunities available for investment.

“The board very much looks forward to updating the market further in the near future.”