Cannabis Science Inc (fka CBIS)

[newmedman]

Time to put the whale bait in the water. Nice find. Sangk

Robert Kane, a former Stifel Nicolaus & Co. broker, on is busy planning the launch of a hedge fund next year that will invest in the medical-cannabis industry. He has lined up three individuals who have agreed to put up $300,000 to launch the hedge fund. He initially plans to raise $36 million but would like to reach $132 million for the New York-based hedge fund, which he will call Kaneabis.

Someone tell this fellow about Litro A.S.A.P

What medical-marijuana entrepreneurs have in common is a desire to move beyond the first line of entrepreneurial seed capital to a broader base of investors. The primary sources of growth capital are likely to be angel investors, typically affluent individuals or small groups of people who are willing to take on risk for the chance at outsized returns.

That is where someone like Ken Maeda comes in. The 39-year-old investment adviser said he has never tried pot but would invest up to $500,000 if he could find the right opportunity. He has some reservations.

"Because of what I do and the investors I deal with, I'm not comfortable with areas that are illegal on a federal level," said Mr. Maeda, who is scouting investment opportunities in companies that supply hydroponic equipment or light-emitting-diode-based growing lights to medical-marijuana growers.

Time to spice up the presentation Mr. Cowhan

I

n March, a for-profit organization called the ArcView Group formed a network that will connect businesses that don't violate federal drug laws with qualified angel investors like Mr. Maeda. Troy Dayton, the group's chief executive, said investors are "very timid and tentative and peeking over
the fence right now."

"There's a lot more interest than rubber hitting the road, but I think that's going to change," Mr. Dayton said. While it isn't unusual for angel investors to keep mum on the types of businesses they are investing in, they are particularly tight-lipped in the cannabis industry, he said.