Cresco Capital Partners Closes Oversubscribed $60M Cannabis Fund

Private equity firm Cresco Capital Partners announced Thursday that it closed a $60-million oversubscribed cannabis fund, the CCP Fund II.

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What Happened 

Cresco surpassed its $50-million goal for the fund, Matthew Hawkins, Cresco's managing principal, said in a statement. 

“With the overwhelming success of CCP Fund II, we are preparing to begin marketing a third fund in which we hope to raise $200 million. This fund will continue to target investments in value-add opportunities in the legalized cannabis space both plant touching and non-plant touching.”

Cresco said it's raised more than $85 million in its two funds and a series of co-investments since kicking off in 2014. 

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Why It's Important 

The private equity firm said it's deployed about $22 million from Fund II to date to 15 companies along the cannabis supply chain ranging from genetics to retail branding. 

The portfolio includes companies such as Harborside/FLRish Inc., MJ Freeway, PROHBTD, NorCal Cannabis Company, Sunderstorm, Phylos Biosciences, Sublime and Cellibre, according to Cresco; to find more coverage on these companies, click here.

The firm said it's achieved seven exits across its two funds with companies such as Acreage Holdings Inc ACRGF, Green Thumb Industries Inc GTBIF, Ebbu and Form Factory. 

What’s Next 

Cresco said Thursday that it's preparing to launch a third fund in which it hopes to raise $200 million. 

"This fund will continue to target investments in value-add opportunities in the legalized cannabis space both plant touching and non-plant touching," Hawkins said. 

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