Cannabis-focussed healthtech startup HempStreet, on Tuesday (February 11), announced that it has raised $1 Mn in Pre-Series A funding round led by Pharmacon Holdings, a US-based healthtech company. Angel investor Romain Barberis, who invests in startups working in cannabis-related startups in the US and Canada, also participated in the funding round.
With the recently-raised funds, HempStreet wants to invest in technology development and research and development of new cannabis-related medicines. “This funding will help us in further strengthening our commitment to bring an effective and responsible usage of Cannabis, especially on the pain relief front,” said Abhishek Mohan, cofounder of HempStreet.
Founded in 2019, HempStreet is a manufacturer of ayurvedic medicines based on cannabis. Using blockchain technology, the startup also tracks the supply chain of ayurvedic medicines to ensure the responsible dispensing of cannabis-based medication. HempStreet calls this as “seed to sale” tracking.
HempStreet claims that it has an existing network of over 60K doctors who are operating via 300 clinics. The startup also claims that around 35 Mn individuals are treating themselves with its cannabis-based ayurvedic medicines.
In partnership with the Council of Scientific and Industrial Research, the startup also works in the research and development of cannabis-related products. Explaining the future plans of the company, Mohan said that with CSIR partnership, HempStreet will launch an extensive range of cannabis-based prescription products to help our ayurvedic doctor network better serve their patients.
According to Grand View Research, the global legal marijuana market is predicted to reach $146.4 Bn by the end of 2025. The report also estimates the market is anticipated to grow at an annual growth rate of 23.9% during the forecast period. Rising demand for cannabis as a pharmaceutical product for treating various medical conditions is expected to be the driving factor for this growth.
Besides HempStreet, other startups that are also working in this segment in India are Bombay Hemp Company, Namrata Hemp Company, NirogStreet, among others.
Notably, Bombay Hemp Company is also working with CSIR for medical research on cannabis. The startup also helps local farmers cultivate their fields by providing optimum seeds, feedback on cultivation techniques, and using new agro-products. Besides medicine, the startup is also working on manufacturing hemp-based clothes.