A bill previously rejected by former Governor Hickenlooper has made a resurgence
Colorado’s former governor, John Hickenlooper, wielded the pen the way General Custard wielded a sword – hind of haphazardly but also with the understanding that he was in charge. He rejected a number of bills that would have helped the marijuana industry – including one that would have allowed autism to be recognized as medically treatable by cannabis – and lawmakers are now trying to correct his deficiencies. A bill that would allow entities outside of Colorado to invest in the state’s marijuana businesses was rejected by Hickenlooper, but has now been passed – again – by lawmakers and reportedly will be supported by the state’s current governor, Jared Polis.
The move will bring a lot of investment money to Colorado’s marijuana industry. It will allow businesses to receive investments and capital from entities outside the state, including from publicly-held companies and venture funds.
The bill eliminates regulations that placed a cap on the number of out-of-state business owners to 15. This prevented virtually all public entities from investing in marijuana companies. It also allows publicly-traded companies to own a marijuana license in the state, as well as creates two new types of licenses – one for individuals with a minimum stake of 10% in a licensed firm and another for passive investors with a stake of less than 10%.
According to the newly-appointed CEO of Medicine Man in Denver, Andy Williams, “We’ve been hindered in our growth because our laws restricted outside ownership and investment. This is a little late but allows Colorado companies to compete with the rest of the country and the rest of the world. Without it, Colorado would fall further behind.”