Cannabis Agriculture and Food Sciences: Industry Vertical Infographic
This infographic provides an overview of the agriculture and food sciences vertical within the cannabis industry, highlighting areas such as the investment opportunity, subsegments, and more.
How do agriculture and food sciences apply to cannabis?
This cannabis industry vertical includes companies leveraging their expertise in agriculture and food sciences to improve the potential of cannabis and hemp plants. Solutions from companies in this vertical tend to focus on influencing plant characteristics such as yield, oil production, disease reduction, and more.
It also includes companies using various scientific disciplines to develop food and agriculture innovations for both humans and animals that incorporate active cannabis and hemp ingredients.
Subsegments
- Plant science
- Soil science
- Food science
- Animal science
- Environmental science
The agriculture and food sciences investment opportunity
Compared to other commercially available crops, little standardization currently exists in cannabis and hemp cultivation practices. As the industry matures, cannabis and hemp producers and processors will need standardized and stable inputs to remain competitive, develop consistent products, and maintain consumer and patient safety.
Agriculture and food science companies aim to address this need with innovative and disruptive technologies, strong intellectual property, and rigorous research and development processes. Successful companies in this industry vertical will have the ability to scale and monetize their technologies by working with producers, processors, strategic partners, and competitors in the space.
Finally, the acquisition landscape in the broader agriculture and food industries also makes this a compelling segment for investment. With large companies from these industries eyeing the cannabis sector, specifically companies seeking strong cannabis-related intellectual property, we believe this vertical will provide strong returns on invested capital.
Key statistics for the agriculture and food sciences vertical*
- US$271.5B invested in the last five years
- 4,350+ deals completed in the last five years
- 760+ exits
RIV Capital portfolio companies in the vertical
*Source: Pitchbook (Jan 1 2015-Jan 1 2020). Note that these key statistics relate to the broader agriculture and food sciences segment, and not the cannabis-focused agriculture and food sciences segment.
This is not an offer to sell or a recommendation to trade in any securities. This information is provided as of the date hereof. This document contains data obtained from third parties that RIV Capital has not independently verified. This document also contains forward-looking information within the meaning of Canadian securities law, which is based on certain assumptions. While management believes these assumptions are reasonable based on information available as of the current date, they may prove to be incorrect. Many assumptions are based on factors outside of RIV Capital’s control and actual results may differ materially from current expectations. Forward-looking information involves risks, including, but not limited to, the risk factors set out in Canopy Rivers’ most recent Management’s Discussion and Analysis and Annual Information Form. You should not place undue reliance on forward-looking information. Except as required by applicable law, RIV Capital assumes no obligation to update or revise any forward-looking information to reflect new events or circumstances.