Craft soda maker Jones Soda acquired a Canadian shell company and raised $11 million in concurrent financing as part of a move to develop cannabis-infused products.
Proceeds “will be used towards the development of the company’s planned cannabis-infused beverages and edibles business line,” Jones President and CEO Mark Murray said in a Tuesday news release.
Seattle-based Jones could potentially produce both THC- and CBD-infused beverages, according to an October filing with the U.S. Securities and Exchange Commission.
In July 2021, Jones announced plans to enter the cannabis beverage sector via “one or more subsidiaries.”
Sol Global Investments, whose portfolio includes cannabis companies, bought $9 million worth of Jones shares via portfolio company HeavenlyRx in 2019.
Jones also issued a $2 million convertible debenture to Sol Global in 2021 as part of its cannabis drink push.
The Canadian shell company acquired by Jones, Pinestar Gold, was previously a mineral exploration company.
Jones said it plans to list its Canadian shares on the Canadian Securities Exchange, subject to approvals.
Such a move would “increase the liquidity of our shares (and) enable the company to appeal to potential investors in Canada as well as the United States,” said Murray.
Jones’ U.S. shares trade on U.S. over-the-counter markets as JSDA.