Dutch grower raises financing to realize production facility

"Q-farms has raised a unique financing from Rabobank to realize a state-of-the-art production facility. Here, cannabis will be grown legally for the purpose of the Closed Coffeeshop Chain Experiment initiated by the Dutch government," shares Bram Schop, Senior Manager Corporate Finance & Debt Advisory of BDO Nederland on LinkedIn. During this experiment, coffee shops in 10 participating Dutch municipalities sell the regulated, quality-controlled cannabis. The participating coffee shops are supplied by 10 selected growers. The purpose of the Experiment is to investigate whether a closed coffeeshop chain is possible and what the effects of the Experiment are on crime, safety, nuisance and public health.

Q-Farms plans to grow, process and supply a wide range of cannabis-related consumer products to selected coffee shops at the new production facility. "The entire cultivation and production process of Q-Farms is designed to offer the highest quality and cleanest product to the market. With this, Q-Farms aims to achieve a distinctive market position."

"The funding achieved is unique because of its experimental and start-up nature combined with the sector. This caused reluctance among financiers. The financing was provided by Rabobank, through which the bank actively amounts to sustainable legal market operation in the Coffeeshop chain," Bram says.

Karina Zuidinga (CFO Q-Farms): "Recent years were dominated by the elaboration and optimization of our strategic and operational plans. Rabobank was closely involved from the beginning. With guidance from BDO, we optimized our financing memorandum and the financing application was correctly presented to financiers. BDO managed the process with the bank and guided us well in the discussions with the bank. With BDO's support, we were able to realize the financing and achieve maximum results. Through short lines of communication and a fixed team, each with their own expertise, we were able to switch quickly during the financing application. We would like to thank Rabobank and BDO very much and look forward to a fine cooperation in the coming years."

For more information:
Q-Farms
www.q-farms.com