Beckham-backed cannabis brand floats on LSE

A UK cannabis company, backed by David Beckham, has been valued in excess of £25 million in its first day trading on the London stock market.

UK-based Cellular Goods has become the first provider of consumer products based on biosynthetic cannabinoids to join the London stock market.

The company has been admitted to the Official List following a significantly oversubscribed initial public offering that raised £13 million before expenses.

More than 6,000 valid applications for shares were received in respect of the IPO. 

Shares will commence trading on the main market of the LSE from 8am on Friday 26 February, under the ticker symbol CBX. 

A total of 260,000,000 ordinary shares have been issued at five pence each to institutional and retail investors, valuing Cellular Goods at a market capitalisation in excess of £25 million.

Cellular Goods was established in August 2018 to develop efficacy-led and research-backed cannabinoid products. 

The initial focus is on premium skincare and topical athletic recovery products to be launched from this autumn. 

Earlier this month it was revealed that former England footballer, David Beckham’s investment firm, DB Ventures had bought a stake in the company.

The firm follows European based MGC Pharma and Israeli firm Kanabo which made history as the first and second companies to list on the LSE this month.

The purpose of the flotation on the LSE is to raise the public profile and provide new funds for the company’s expansion and long-term growth. 

“Cellular  Goods’ debut on the London Stock Exchange is a major step in the company’s development and provides a strong foundation to execute our long-term growth strategy,”commented Alexis Abraham, chief executive officer

“We are delighted with the strong support from a wide range of institutional and retail investors to build premium consumer products based on biosynthetic cannabinoids under the Cellular Goods brand.”