Snoop Dogg-backed German cannabis startup gets $37.6M

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Snoop Dogg-backed German cannabis startup gets $37.6M
©  Sanity Group

Sanity Group is a Berlin-based cannabis company. They recently secured Europe’s largest cannabis investment round in a Series B funding: $37.6 million. This was thanks to participation from Snoop Dogg’s Casa Verde Capital and British American Tobacco Group, also known as BAT Group.

With this new money, Sanity Group will increase their R&D activities as they continue to grow in Europe. They previously raised over $100M in funding rounds.

Sanity Group Inc. states that the recent investment is a sign of good things to come for the cannabis industry in Europe and Germany. The company was started by Finn Age Hänsel and is headed by him as CEO. Hänsel expressed his gratitude to new and previous investors for their belief in Sanity Group. His goal is to fully explore the potential of the cannabis plant and harness different cannabinoids. With additional funding, Hänsel states that he’ll be able to accelerate his company’s consumer and medical business divisions. Additionally, he claims to prepare accordingly for German cannabis legalization.

Improve People’s Quality Of Life

Sanity Group was founded in 2018 by Fabian Friede and Finn Age Hänsle. Their goal is to increase the quality of life through cannabinoid use and the endocannabinoid system. They also create pharmaceuticals and cosmetics that utilize cannabinoids.

The company is like London-based Lyphe Group in that they work patient-first as a cannabis access company. They also operate a cannabis extract production and processing facility near Frankfurt am Main.

Sanity Group’s Chief Investment Officer Max Narr stated that this was one of the largest funding rounds for a European cannabis company. It is also one of the few round increases during this period in the German startup scene, which is currently experiencing a difficult economic environment. Despite this, Sanity Group was able to increase the size of this round, allowing them to further progress and pursue their mission of becoming a significant cannabis brand in Europe and Germany.

Sanity Group already has investors in place: Hollywood actress Alyssa Milano, music producer Will.I.Am and Scooter Braun, both a manager and venture capitalist. Other investors include SWiss venture capital firm Redalpine, Atlantic Food Labs, Bitburger Ventures, Cherry Ventures, HV Capital, Casa Verde Capital, Calyx, TQ Ventures and SOJE Capital. Additionally, music producer Black Eyed Peas is an investor in Sanity Group.

Michael Sidler, a partner at Redalpine VC — the lead investor in Sanity Group’s Series A funding round in 2021 — stated, “Our mission is to assist budding businesses in realizing their potential as tomorrow’s leaders of the market. We invest in curious individuals with a shared enthusiasm for innovation. Since getting involved with Sanity Group’s summer 2021 project, we have felt the same enthusiasm from the company’s team. We’re excited to see their progress in the future.

Casa Verde Capital’s Managing Partner Karan Wadhera says, “The Sanity Group is already the most well-funded marijuana business in Germany. They are also on track to become one of Europe’s leading brands. We are excited by their continued progress and will continue to support them with financial and operational aid as they scale.”


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