Jay-Z continues to expand his empire into the booming cannabis industry, and the famous hip-hop artist and successful businessman will also look to assist the minority-owned small businesses as part of his latest venture.
Late last week it was announced The Parent Company (formerly known as Subversive Capital Acquisition Corp), one of the most well-capitalized cannabis companies in the U.S., finalized the purchase of CMG Partners Inc. and Left Coast Ventures. Led by Chief Visionary Officer, Mr. Shawn “JAY-Z” Carter, The Parent Company will look to further its acquisition goals and brand development via The Parent Company Social Equity Ventures, which will invest $10 million (plus an annual contribution of at least 2% of its net income) in minority-owned and black-owned cannabis businesses, while also aiming to rectify the wrongs of cannabis prohibition and the racially-biased war on drugs over the past four decades, according to a press release.
The Parent Company Social Equity Ventures fund will also support organizations and programs focused on diversifying the cannabis workforce with initiatives like job fairs and job placement, industry training and education, and Social Equity application support. Investors in the new partnership also include a number of Jay-Z’s RocNation artists including Rihanna, Meek Mill, Yo Gotti, and DJ Khaled.
“This is an incredible time for this industry. The end of cannabis prohibition is here, and The Parent Company will lead the charge to a more expansive and inclusive cannabis industry,” Jay-Z mentioned in a statement with the announcement. “We are paving a path forward for a legacy rooted in dignity, justice, care, and consistency. The brands we build will redefine growth, social impact, and social equity. This is our time. I’m proud and excited to lead the vision of The Parent Company.”
Jay-Z was named the Chief Brand Strategist for cannabis consumer products company Calvia (CMG Partners Inc.) back in 2019, and the rapper-turned-entrepreneur notably launched his first cannabis line, “MONOGRAM,” this past December.
According to the announcement, The Parent Company is now California’s leading vertically integrated cannabis company, offering services including plant cultivation, manufacturing, distribution, brands, retail, and delivery. The company expects to earn revenues up to $334 million in 2021.
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