In this article, in our series on VC’s of cannabis, we take a look inside Tuatara Capital.
Tuatara Capital
Founded in 2014, this private equity company has plenty to spend in the cannabis space. According to Crunch Base the firm raised $206.8m for its second fund in May last year. Reflective of the team’ backgrounds in leading, blue-chip investment firms, Tuatara Capital employs a disciplined investment strategy based on fundamental business analysis with a methodical approach to sourcing, monitoring, and executing investments.
Portfolio
Some companies in the portfolio include;
GCH, Inc
In January 2018 Tuatara invested $12m in GCH. GCH is a cannabis IP-development company focused on branded, premium cannabis products. With Willie’s Reserve as its flagship brand, GCH incubates, markets, and builds value for its brands through its vertically aligned sourcing, distribution, and retail platform. GCH currently markets and distributes its brands across the California, Colorado, Washington, Oregon, Maryland, and Nevada markets.
Green Dot Labs
Tuatara lead a $3.3m series a round for Green Dot Labs, a Colorado-based manufacturer of ultra-premium cannabis concentrates and vaporization cartridges for the medical-use and social consumption markets. Green Dot is a price-setting segment leader with a brand that represents superior quality, differentiation, and consistency. Green Dot Labs owns over 120 proprietary and industry-renowned genetic strains that they have developed over the last decade. The Company has also established a set of trade secrets around their cultivation and processing methodologies that support the quality of their concentrates with unparalleled consistency.
CKSoul
CKSoul is a California based health and wellness brand with a focus on supplying premium, safe and expertly prepared whole-plant cannabis oil tinctures and related products, blended with all-natural terpenes. The Company’s formulation are based on years of patient data and designed to provide holistic relief to customers of all ages. The backbone of CKSoul lies within their partnerships with scientist and researchers from Southern California’s top universities. From clinical studies to general research, CKSoul is dedicated to unlocking and establishing the truth behind cannabinoid therapy.
Hana Meds
Hana Meds is headquartered in Tempe, Arizona and currently holds and operates two vertically integrated medical cannabis licenses in the state. The Company’s operating infrastructure includes a large-scale commercial greenhouse platform strategically positioned at 4,000 feet of elevation that produces year-round growth, an indoor cultivation, production and distribution facility at a prime location in the Metro Phoenix area, and two retail dispensaries. Hana Meds’ facilities are strategically positioned within the state to serve as hubs for manufacturing and distribution of a multifaceted portfolio of branded cannabis products.
What are Tuatara looking for;
Tuatara looks at the following criteria, before investing;
- Companies with a clear path to scale in their home markets and beyond
- Talented leaders seeking to increase their companies’ growth trajectories
- Significant minority investments with like-minded partners seeking strategic insights at board level
- Leadership in target sub-sectors
- Growth equity and late-stage venture investments
