Greenfern Industries
Greenfern Industries
This offer is open exclusively to wholesale, sophisticated and accredited investors.
All investments will be held through the Equitise Nominee. The Equitise Nominee is a Bare Trust structure that holds securities on behalf of the investor. The Nominee is in place to handle administrative responsibilities on behalf of the company and to limit total shareholder numbers. Investors are entitled to the same rights as they would directly on the share register. More information can be found in the Investment Agreement, accessible at the final stage of investing.
The minimum investment for this offer is $10k. The company is looking to raise up to NZD $1.2m.
- Price per share: NZD $0.115
- Security Type: Ordinary Shares (GFI:NZX)
- Minimum Investment: $10k
- Exchange Rate: AUDNZD = 1.10
Pitch Deck
Subscription Agreement
Company Overview
Founded in 2018, Greenfern Industries (GFI) are driving a new standard of responsibility and sustainability in Medicinal Cannabis and Hemp production.
Operating out of New Zealand’s first purpose-built, carbon-neutral production facility, they are powered by their company-owned, on-site hydropower plant, giving direct access to low-cost renewable power. By reducing the environmental impact of indoor cannabis production, GFI's aim is to remove one of the key production issues and focus on the value it can add to the health and lifestyles of our customers.
On top of Medicinal Cannabis, GFI has operations spanning into biotechnology, industrial hemp, hemp food and body care.
Proudly New Zealand based and branded, GFI is a Toitū Carbon net zero certified organisation, and is New Zealand’s only certified B Corp medicinal cannabis business.
Investment Highlights
- Unique and Defensible Competitive Advantage
GFI's onsite, company-owned hydroelectric power station drives carbon-neutral manufacturing as well as significantly reducing the cost of energy inputs. As a result, GFI is a market leader in terms of both environmental and cost-effective production of medicinal cannabis.
- Early Movers in NZ Medicinal Cannabis
GFI are the owners of a government-issued commercial cannabis license, which was renewed in December 2021. Their successful R&D process is ongoing in their Stage 1 production facility, while their Stage 2 facility has been built and is ready for scale-up post-raise.
- Growth Opportunities In Multiple Markets
The Global Medicinal Cannabis market is large, and growing year-on-year. Feedback from buyers indicates that consumer demand for New Zealand-grown products is increasing, while the German and Australian markets offer additional channels for growth through the sale of existing and future products.
- Omni-Channel Revenue Model
GFI accesses B2B channels through the white label production of Medicinal Cannabis, as well as the sale of hemp products. GFI have secured a binding offtake agreement for the overseas distribution of Medicinal Cannabis worth up to $1.6m. B2C and B2B2C channels are accessed via GFI subsidiaries, Mato and GFI Pharma. Additional revenue is generated through the sale of surplus energy, produced at their onsite hydropower station, to the national grid.
- Innovative Research and New Product Development
GFI have already developed significant IP through their clinical trial protocols, while the collating of real-world patient deidentified data, acquired through product prescriptions, allows future trial planning. GFI have also secured partnerships with reputable research organisations which serve to solidify their innovative brand reputation.
- Stellar Leadership Team
GFI's leadership team and board are highly qualified, with relevant sector, strategic and geographic experience. Having successfully executed their strategy to date, including achieving a listing on the NZX in 2021, they are well positioned to continue growing the business and brand.
What We Are Addressing
Our core values are at the heart of what we are solving.
Problem: The lack of quality and consistency of black market cannabis poses a risk for those seeking to use cannabis responsibly in order to access health benefits.
Solution: GFI produces regulated, high quality medicinal cannabis products in New Zealand, and supplies in Australia, products that offer access to the health benefits
Problem: Controlled environment indoor cannabis production typically uses a significant amount of energy.
Solution: GFI produces cannabis products with environmental sustainability values in mind. In New Zealand, we use clean, renewable low-cost electricity from our on-site hydro power station to reduce the cost of production while being gentle on the environment and with no compromise to quality.
Problem: There are low volumes of medical cannabis products manufactured in New Zealand, and existing imported medical cannabis products are expensive.
Solution: GFI licences GMP manufactured, quality medicinal cannabis products through world-leading partners with an aim to bring these products to New Zealand consumers in the future.
Problem: The Taranaki economy is overly reliant on dairy farming, oil and gas.
Solution: GFI acts and thinks locally while basing its operations in Taranaki, and aims to become an alternative industry for the region.
Business Model
GFI run an omni-channel revenue model, with operations in the following verticals:
Medicinal Cannabis: Cultivation of pharmaceutical grade cannabis for current medicinal & future recreational markets.
GMP Pharma: Sale of GMP medicines in Australia, with New Zealand as a target market. GFI have entered a non-binding agreement to work towards securing a licensing deal for Syndros (one of only 4 globally FDA-approved cannabinoid medicines in the world), for Australia, New Zealand and the Pacific Islands, through their partnership with Cannvalate Pty Ltd.
Clinical Trials: Writing clinical trail protocols to pursue OTC low-dose CBD registered medicines in Australia through the Therapeutic Goods Administration (TGA). GFI have entered a non-binding agreement to investigate securing licensing rights for a product manufactured by a market leading, American based manufacturer of small molecule active pharmaceutical ingredients, in Phase 2 clinical trials for anxiety in Australia.
Electricity Generation: Sale of surplus hydroelectricity produced on-site.
Team
Dan Casey
Dan is an experienced project manager and civil engineer with over 17 years industry experience. Co-founding GFI industries back in 2018 Dan has led GFI’s significant growth and strategy to date while hitting important milestones and building the business to what it is today.
John Hussey
John has over 20 years of experience in the IT sector and leading international consulting teams – for 10 of these years he was based in Germany. John is instrumental in driving GFI’s commercial relationships and strategy and has an in-depth knowledge of the New Zealand legal cannabis regime.
Brent King
Brent was the founder and managing director of Dorchester Pacific Limited, resigning in 2005, and is currently a director of a number of other businesses. Brent has direct experience leading listed businesses from the ground up – during his tenure, Dorchester returned investors more than 20% p.a.
For more information about GFI's all-star leadership team and board, as well as further detail on the business model and strategy, please refer to the pitch deck attached above.