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ACKRELL CAPITAL
2018 CANNABIS INVESTMENT REPORT

2018

GLOBAL CANNABIS CONSUMERS

Contents
Foreword
I Executive Summary
II Cannabis Science 101
III Cannabis Industry Segmentation
IV U.S. Legal Landscape
V Global Cannabis Regulation
VI U.S. and International Cannabis Market Estimates
VII Capital Markets for Cannabis Companies
VIII Top 100 Private Cannabis Companies 2018
IX Cannabis Industry Risk Factors
X Glossary of Terms
Disclosures, Disclaimers, Sources and Use
Ackrell Capital Cannabis Team
Inside Back Cover: The Green Field 2018

About Ackrell Capital
Founded in 2003, Ackrell Capital is a leading independent investment bank focused on emerging growth companies. Ackrell Capital’s expertise includes:
- Private Equity
- Mergers and Acquisitions
- Private Placements
- Corporate Development
- Cannabis, Consumer, Technology, Digital and Other Emerging Growth Industries

Ackrell Capital is based in San Francisco, CA.
Ackrell Capital is a member of FINRA and SIPC.

- The United Nations recently estimated that more than 180 million people globally between the ages of 15 and 64, or more than 4% of this age group, consume cannabis annually.

- At least 20 countries have implemented medical cannabis laws, including Australia, Canada, Colombia and Germany; countries without such laws include China, Japan, Russia and the United States.

- Although federally illegal in the United States, 46 states and the District of Columbia have passed at least one law that permits the manufacture, distribution, dispensing or possession of cannabis. While most of these laws are medical cannabis laws, 8 states have enacted recreational laws.

- Across all medical cannabis laws in the United States, cannabis is legally recognized as a form of therapy or medicine for more than 50 qualifying conditions, including Alzheimer’s disease, anorexia, arthritis, cancer, chronic pain, epilepsy and post-traumatic stress disorder.

- California is poised to become the largest recreational cannabis market in the world with the implementation of its recreational law in January 2018—a watershed moment for the industry.

- The illegal cannabis market in the United States is estimated to be more than $45 billion annually. (We estimate that the 2017 U.S. state-legal cannabis market was $8.0 billion.) If federal legalization occurs, we believe that the legal market could be more than two times the size of the current illegal market, ultimately exceeding $100 billion annually.

- The cannabis industry provides a broad range of investment opportunities in both the public and private markets for sophisticated investors who are willing to take significant risks.

This report has been compiled for informational purposes only, and is not a research report. This report is not and should not be construed as an offer to sell securities or a solicitation of an offer to buy securities. The information in this report is of a general nature, and this report should not be construed, relied upon or acted upon as investment, legal, medical, health or tax advice. Ackrell Capital has made investments in and conducted investment banking services for companies mentioned in this report, and may do so in the future. Readers should be aware that Ackrell Capital may have a conflict of interest that could affect the objectivity of this report. Ackrell Capital, LLC is a member of FINRA and SIPC. © 2017 Ackrell Capital, LLC.

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