Jay-Z Creates $10M Fund to Invest in Minority-Owned Cannabis Companies

Marco Green
January 22, 2021

According to a press release, JAY-Z's MONOGRAM is a joint venture between him and TPCO Holding Corp., a newly formed company resulting from the acquisition of Caliva and Left Coast Ventures by Subversive Capital Acquisition Corp.

Jay-Z, who is starting his fund with $10 million in seed money received as part of a merger, joins a broader push for equitable economic opportunity in the cannabis sector, as studies show that minorities have borne the brunt of the law that kept the drug illegal more than white people. Singer Rihanna is also among the investors.

The Parent Company (TPCO), now a SPAC - a vehicle meant to raise funds on the stock market - has been listed since last week on a Canadian financial platform, the NEO Exchange.

The Social Equity Ventures fund was created to promote Black participation in the cannabis industry.

The cannabis market has become a booming $20 billion legal business and could surpass the $70 billion market for US wine by 2030, according to an estimate by NY investment bank Cowen & Co.

Beyond investing, TPCO said "the fund will also support organizations and programs focused on diversifying the cannabis workforce through job fairs and placement, industry training and education, as well as Social Equity application support".

"It's awesome how this could have happened", added the rapper. (Wall Street Journal)JAY-Z Makes Big Moves With MONOGRAM " Cannabis has been around for thousands of years, yet it is still an industry whose legacy of skilled craftmanship is often overlooked", said JAY-Z. It will be run by Jay-Z and Roc Nation's CEO, Desiree Perez.

The latter, who was convicted 25 years ago for possession of an illicit substance, has just been pardoned by President Trump, within the framework of 73 pardons granted by the Republican president before his departure.

The Hip Hop mogul, 51, told The Wall Street Journal (WSJ) that he is motivated by an imbalance in the marijuana business.

Other reports by Click Lancashire

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