Future Farm Technologies Inc (OTCMKTS:FFRMF) has closed on the earlier reported ten acre operating greenhouse deal, which generated around $2.8 million in revenue and $400,000 in EBITDA for 2017. The deal price was $3 million or 1.07X revenue. The deal closing exhibits a major milestone for the firm as it offers substantial cash flow and revenue while positioning the firm in the buzzing Florida cannabis market.
The business and related ten-acre property have been permitted at the county level for processing and cultivation of cannabis. William Gildea, the Chairman and CEO of Future Farm, expressed that this revenue-generating deal is a key milestone for company and its shareholders. Florida is one of the most populous states in the U.S. with 20.984 million residents. It is also one of the rapidly growing hemp and cannabis markets in the nation.
The greenhouse is in a planned legal grow zone with closeness to Orlando, which boasts a local population of nearly 2.5 million and attracts more than 62 million visitors yearly, making it a prime site. Shareholders will be thrilled to learn that the farm is quite more than a zoned for cannabis property, but also an entirely operational greenhouse already in full production. This greenhouse property presently cultivates ornamental plants offered in big-box outlets throughout North America.
Future Farm plans to continue running the greenhouse as it also files for licensing as a cannabis grower with Florida. The firm is also assessing the possibility of cultivating hemp on the remaining property of farmland. Brightfield Group report estimates that hemp cannabis offerings will record yearly sales of $1 billion by 2020. As part of this deal, the firm will compensate a finder fee of 6% to Atlas Capital Advisors, LLC. The firm cautioned that the above figures for earnings and revenue are projections only and are not audited.