Diddy has announced plans to invest millions of dollars in the legal marijuana industry.
The Bad Boy Records founder will invest 185 million dollars into cannabis operations managed by Cresco Labs Inc. and Columbia Care Inc. to achieve nine retail stores in three states: New York, Massachusetts and Illinois.
The two companies are each valued at $1 billion and $500 million, respectively, and the buy-in of their companies includes a cash payment of $110 million and an additional $45 million in debt financing, but Diddy said such a price doesn’t matter when it came to create opportunities for the black community.
“My mission has always been to create opportunities for black entrepreneurs in industries where we have traditionally been denied access, and this acquisition provides the immediate scale and impact needed to create a more equitable future for cannabis,” Diddy said in a declaration.
“Owning the entire process—from growth and manufacturing to marketing, retail and wholesale distribution—is a historic win for the culture that will allow us to empower diverse leaders across the ecosystem and be bold advocates for inclusion.”
Puff then echoed that sentiment in an Instagram post announcing the massive deal.
“THE PURPOSE IS BIGGER THAN THE MOMENT,” he wrote. “People don’t realize the politics that go on behind closed doors in the cannabis industry. We have been over-policed and over-criminalized. 80% of the legal cannabis industry is owned by the same people who imprisoned us for it!
He added, “Now that it’s legal, we need to be present! People of color only own 2% of the legal industry! This move is meant to combat the inequities of the cannabis industry!”
Multi-state operations will allow Diddy to grow and manufacture cannabis products for distribution to dispensaries in New York, Boston and Chicago.
“Today’s announcement is bigger than the Transaction — and it couldn’t come at a time of greater importance and momentum,” Cresco Labs CEO Charles Bachtell said in a statement. “We’ve seen executive power exercised to address issues of cannabis injustice, we’re seeing bipartisan support for elements of federal reform, and we’re seeing some of the largest and most influential states in the country launch cannabis programs that prioritize social responsibility — this announcement adds to that momentum.”
He added: “The significant presence of a minority-owned operator in some of the most influential markets in the country, led by one of the most prolific and impactful entrepreneurs of our time, is significant… and incredibly exciting. We are delighted to welcome Sean and his team to the industry.”
Diddy’s latest investment follows newly rated billionaire also invested $10 million in Elon Musk’s controversial takeover of Twitter along with Saudi Arabian Prince Al Waleed bil Talal Al Saud and Twitter co-founder Jack Dorsey.
Money moves aside, Diddy has been hard at work on new music and recently unleashed several remixes of his new “Gotta Move On” single, including a “Queen Remix” that features Ashanti addresses Irv Gotti’s drunken comments he had talked about their past relationship Drink Champs.