According to the Wall Street Journal, Jay-Z is launching a fund to invest in minority-owned cannabis companies in hopes to boost Black participation in the cannabis industry.
Hov’s newly established fund uses $10 million in seed money as part of a merger between two California-based marijuana companies, Left Coast Ventures and CMG Partners, by Subversive Capital Acquisition Corp. The Parent Company will then invest two percent of its net annual income to the fund.
Where Black people have historically been punished harder for drug-related offenses due to the war on drugs, when compared to white people, the fund was created in order to promote Black participation in the cannabis industry.
“It’s really unbelievable how that can happen,” said Jay-Z. “We were the ones most negatively affected by the war on drugs, and America has turned around and created a business from it that’s worth billions.” Hov added, “I wanted to do something in a real, concrete way, where I do my part.”
The Social Equity Ventures is set to donate $1 Million to each startup it chooses to invest in. The venture will be run by Jay-Z and Roc Nation CEO Desiree Perez.
This past December, Hov introduced MONOGRAM, his first cannabis brand, a joint venture between him and TPCO Holding Corp. MONOGRAM is built upon its careful strain selection and meticulous cultivation practices and uncompromised quality in aim to define what cannabis means to consumers.