BlackRock, 1 of the world’s biggest cash managers, disclosed in regulatory filings that its funds have an $11 million stake in Curaleaf Holdings, a Massachusetts-primarily based healthcare cannabis enterprise.
Whilst the investment is tiny for BlackRock, which has practically $six trillion of assets below management, the stake is 1 of the first publicly disclosed investments by a big institutional investor into U.S. cannabis.
“Most institutional investors and banks have stayed on the sidelines for investing in cannabis corporations that touch the plant,” John Brecker, a companion at New York-primarily based cannabis venture fund Altitude Investment Management, told Bloomberg.
The BlackRock investment tends to make it the biggest institutional investor in Curaleaf, according to Bloomberg.
In filings with the U.S. Securities and Exchange Commission, 5 BlackRock funds reported holding Curaleaf stock, Bloomberg reported, topped by BlackRock Sources & Commodities Tactic Trust, which has about 1.1 million shares.
Curaleaf announced plans Wednesday to sell hemp merchandise in 800 CVS drug shops in 10 states.
BlackRock trades on the New York Stock Exchange below the ticker symbol BLK.