Snoop Dogg’s cannabis-focused venture capital fund made a bet last week on a Canadian software maker for the legal marijuana industry.
Casa Verde Capital, which counts Snoop Dogg as a partner, led a $2 million seed round into Trellis. Gateway, a cannabis business startup accelerator also participated. Argonautic Ventures and One Gun invested as well.
Trellis, founded in Toronto in 2014, makes seed-to-sale inventory-tracking software. The company designed its software to help enterprises comply with U.S. inventory management and security requirements.
The company works with clients in California and Canada. But the investment will help it expand to other states that have legalized cannabis for recreational and medical use.
“We are at a pivotal point in the industry where the market is expanding with new regulations and operators are experiencing growing pains. This makes it all the more important to have strong tools and procedures in place,” Pranav Sood, CEO of Trellis, said in a release. “Our focus is on developing industry tools that help clients manage their cannabis inventory, simplify their compliance processes and support the production of safe, optimum quality product.”
Snoop Dogg, whose given name is Calvin Broadus, Jr., fired up Casa Verde Capital in 2015. Karan Wadhera is the firm’s managing partner, and partners include Evan Eneman and Snoop Dog’s longtime business partner Ted Chung.
Casa Verde Capital constitutes just one part of Snoop Dogg’s business interests in Cannabis. The rapper and actor also launched Merry Jane, a media portal, and Leafs by Snoop, a line of marijuana products sold legally at Colorado outlets.
The venture capital firm focuses on investments in what’s known as the ancillary cannabis industry. That category includes agtech, health & wellness, financial services, technology, media, compliance and laboratory technology. But companies in the category don’t grow or sell cannabis.
“We have been searching for companies with an elegant solution to address the growing pains of the industry. That is exactly what Pranav and his team have built with Trellis” Wadhera said.