WA-based Cannaponics Limited has raised A$1.5 million in seed capital from investors to secure a licence to operate a medical cannabis company and develop construction-ready building plans for a cultivation and manufacturing facility that will be based on 160 acres of land in Collie, a regional town located south-east of Perth.
This is the first stage of a project that is estimated to cover seven hectares of land and cost around $300 million.
Cannaponics managing director and founder Rod Zakostelsky said the next funding round aims to raise $15 million from local investors.
Zakostelsky added: “We’re about to appoint a Chief Medical Officer and we’re also on the look-out for strategic partners to add value.”
According to the company’s prospectus, the next round of capital raising is to fund the construction of a 1,500sqm greenhouse and manufacturing facility that can produce 1,000kg of cannabis and equivalent extracts per year.
Zakostelsky said the plans encompass a tourism centre and a medical research centre, as well as the greenhouse and manufacturing hub.
The plans have been supported by the WA Government and the company has also applied to the Federal Government to be granted Major Project Status. Cannaponics has also advanced to stage two of the Collie Futures Industry Development Fund, an invitation-only $2 million matching dollar-for-dollar grant run by the local government.