Oxford Cannabinoid Technologies (OTC) will be making its debut on the London Stock Exchange soon.
The pharmaceutical company, which is developing cannabinoid-based prescription medicines, said this week that it had raised £16.5 million ($23.4 million) from institutional investors and wealthy individuals, including Casa Verde.
Casa Verde is the investment fund co-founded by rapper Snoop Dogg, and tobacco group Imperial Brands.
This values the company, which was founded in 2017, at £48 million ($68 million).
The company plans to use the proceeds from the initial public offering to develop a portfolio of four drug candidates for approval as licensed pain medicines in the U.S., U.K. and European Union.
The first commercial sales are expected in 2027 as the company targets the pain market.
“We are pushing the frontiers of cannabinoid based research at OCT, and there is obviously interest in, and excitement about, the work we are doing,” said Neil Mahapatra, co-founder and executive chairman of OCT.
Unlike GW Pharmaceuticals, which manufactures drugs from cannabis plants, OCT will chemically synthesize its drug compounds, which include phytocannabinoids, cannabinoid derivatives and completely new chemical entities, Lucas said in an interview with MarketWatch.
OCT owns a library of 93 cannabinoid derivatives that are an additional source of further drug compounds for development, said Lucas.
Imperial Brands will hold about 11%, while California-based venture-capital firm Casa Verde Capital will have just over 2%.