Snoop Dogg invests more in Canadian marijuana industry

TORONTO — Rapper Snoop Dogg is digging further into the Canadian cannabis ecosystem, investing in a seed-to-sale software provider as the country prepares for the legalization of marijuana by Canada Day next year.

Toronto-based Trellis, a cannabis inventory management software provider, said Thursday the weedloving rapper's venture capital firm is investing US$2-million.

Snoop Dogg's Casa Verde Capital invests in firms that support the cannabis industry but don’t directly touch marijuana. Trellis, which has offices in Toronto and Oakland, Calif., provides an inventory management platform for the cannabis industry.

Pranav Sood, the chief executive and founder of Trellis, said Snoop Dogg's involvement helps to give his Toronto-based company a higher profile.

“For us, I think it just elevates the discussion and helps to boost our brand visibility.”

The US$2-million also includes reinvestment from Gateway, an Oakland, Calif.-based incubator focused on cannabis companies.

Casa Verde Capital’s investment comes about a year after licensed marijuana producer Tweed Inc. and parent company Canopy Growth signed a partnership deal with Snoop Dogg.

That deal granted the Canadian marijuana producer exclusive rights to use certain content and brands owned by the rapper's company LBC Holdings.

In October 2016, Tweed and Snoop Dogg announced the rapper’s Leafs By Snoop cannabis brand would be available in Canada, to medicinal customers registered with the Canadian producer. The companies said they would offer three Leafs By Snoop varieties — Sunset, Ocean View and Palm Tree CBD.

Jordan Sinclair, director of communications for Canopy Growth, says its partnership with the rapper, which is set for three years with an option to renew afterwards, has been “successful.” Leafs By Snoop line products usually sell out within days of stocking it in the online store, he added.

However, the cache afforded by the rapper — whose hits include Smoke Weed Everyday — is limited under proposed standards governing the marketing and advertising of marijuana in Canada. In 2016, a federal task force issued a report recommending cannabis products require plain packaging and only allow for certain kinds of information, such as the name of the company, marijuana strain and price.