High Hampton Holdings Corp. (OTCMKTS:HHPHF, CSNX:HC) is looking to develop its private cannabis distribution network through the state of California.
The Toronto-based company is looking specifically at the Coachella Valley, home to the popular namesake music festival.
“We’re looking at existing brands and existing companies that are in the California landscape. The beachhead for us is a property in Coachella,” said COO Paul Mann.
The company acquired 10.2 acres of land in the valley, which includes 190 square feet of greenhouses and 90,000 square feet of production space where the manufacturing, production, and packaging will take place.
The cannabis investment company raised US$19.3mln in a March offering.
While High Hampton Holdings is focusing on California, the world’s sixth-largest economy, its plans may change as the federal law evolves.
“By developing ourselves and putting our foundation into California, when the federal government decides to make it federally legal, then we will be well-positioned to start exporting the product into the rest of the United States and to also look at acquisitions in other states,” said Mann.
With the rise of the opioid crisis, Mann believes the cannabis is a better fit for the wellness market and hopes to move the company in that direction going forward. He sees the potential to develop treatments for PTSD, epilepsy, arthritis, and other ailments.
High Hampton Holdings has a market cap of US$32.88mln.