Harborside said Monday that it has thrown $5 million in investment capital behind Loudpack, another well-known California marijuana business.
According to a news release, Oakland-based Harborside provided the funding for the “strategic investment” through a 15% secured convertible note, on which payment is due in December 2022.
Loudpack CEO Marc Ravner said in the release that the Los Angeles-based company will use the funds for further expansion and to scale up production capacity.
The two companies are also trading services.
Under the agreement:
- Loudpack will help Harborside maximize yields at its cannabis cultivation facility in Salinas and also provide manufacturing services at its facilities for Harborside-branded products.
- Harborside will provide more shelf space in its stores for Loudpack-associated brands such as Dimebag, Kingpen and Smokiez.
“Through this capital investment, we … will look to leverage (Loudpack’s) expertise as we explore opportunities to expand our cultivation, production, and distribution capabilities,” Harborside Chair Matthew Hawkins said in the release.