Canopy Rivers' Growth Plan
By Narbé Alexandrian, President and CEO, Canopy Rivers Inc.
The cannabis industry is blossoming as producers, manufacturers, and companies across the value chain embrace opportunities in both the recreational and medical markets. Disruption in the sector is a question of when, not if, as existing companies grow and industry-adjacent players get set to enter the space. For consumers across the use spectrum – recreational, health and wellness, and medical – cannabis is a potentially disruptive ingredient that we expect will create new markets.
Over the next year, we plan to capitalize on cannabis’ disruptive nature by being life-cycle investors, targeting the deployment of capital across multiple stages of a company’s life.
Our investment criteria include three key characteristics:
Finding exceptional entrepreneurs, that understand both the potential of the plant and the behaviour around their company’s customer base.
Product-market fit, demonstrated by traction in the market and/or intellectual property that creates barriers to entry.
Market dynamics, including verticals that have sizable addressable markets, profitability, and the ability to scale globally.
Our Impact Team will continue to deliver on the value-added component of working with us, by fostering partnerships across the portfolio, including support surrounding plant science, genetics, cultivation, extraction, marketing, distribution, and technology. Specifically, over the next 12 months, the Impact Team plans to focus on:
Commercialization, through our network to help portfolio companies with regulatory guidance, capital build-out, branding, distribution, and other important operational areas.
Collaboration, between like-minded companies inside and outside of our ecosystem, to help our portfolio companies scale and focus on what they are best at.
Monetization, by helping companies find ways to build revenue and cash flow, guiding them towards an eventual exit or other monetization event.
We believe in the long-term success of the cannabis industry and, as such, helping build sustainable businesses. This takes time. We trust that our shareholders understand our mission, share our view of the immense potential in the industry, and ultimately believe in the value we are creating.
To learn more about Canopy Rivers, download our letter to shareholders.