CBD Startup Alphagreen Raises £1.1M Seed Funding
Europe's biggest CBD marketplace completes £1.1m seed funding round. Investment to be used to launch new services and U.S. expansion. Global CBD market poised for a 'significant growth phase'.
LONDON, November 19, 2020 (Newswire.com) - Alphagreen - Europe's leading marketplace for CBD and alternative healthcare products - has secured £1.1M of seed funding to help finance the rollout of new products and services alongside their expansion into the U.S.
This is the largest amount raised to date in Europe for a CBD marketplace. Participants in the seed round included Stockholm-based Enexis AB, US Cannabis Fund West Creek Investments and angel investors, including Igor and Oleg Tikhturov.
"At the moment, the majority of turnover comes from commission fees, content creation, and display ads. This injection of funding will allow Alphagreen to launch and offer a new range of integrated e-commerce services incl. fulfillment, performance marketing, localisation, and data analytics to address specific problems faced by makers of CBD and alternative healthcare products, much in the way that The Hut Group operates."
Amaury De Poret from Enexis commented that, "Enexis is delighted to support the continued growth of Alphagreen. With its innovative solutions and strong technical abilities, the company is uniquely positioned in the key CBD online marketplace segment."
US Cannabis Fund, West Creek Investments Walter Arnold said: "Alexej and the Alphagreen team have identified a unique and mutually beneficial way to connect high-quality CBD brands with interested consumers, through an out-sourced direct-to-consumer model. U.S. brands are looking for growth opportunities in the UK and Europe, and Alphagreen provides them with a strong platform to scale in these regions."
Alphagreen generates revenue from companies listing products on its platform as well as offering them end-to-end e-commerce technology services including translation, SEO and other marketing support. The London-based startup currently generates organic traffic of 50K unique visitors a month and 80K page views and is growing at an impressive rate 30-40% month on month. This investment will enable Alphagreen to significantly increase the support they provide to consumers brands through their tech-enabled services.
"The funding allows us to set up a new service in the U.S., the world's biggest CBD market. We'll establish and run a bespoke platform for American consumers looking to buy products as well as help leading U.S. brands, such as Charlotte's Web, enter Europe and list their products on our site," said Alexej Pikovsky, co-founder and CEO of Alphagreen.
"The global market is poised for a significant growth phase. The wider U.S. cannabis market is currently enjoying robust expansion, with the sector rallying by over 50% in the last month."
"On top of this, investor optimism has been boosted by hopes Joe Biden's presidential victory could lead to further decriminalisation. In addition, the UN next month will be discussing descheduling cannabis as well as providing clarity around the international trade of CBD products."
"These factors will provide significant support for the CBD industry in particular - and Alphagreen will be perfectly positioned to benefit from these fundamental changes to the way the market will function."
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For additional information please contact:
Kevin Maxwell, Kevin@shift6.org, +44 7985 351 797 (UK and Europe)
Melissa Tirey, Melissa@shift6.org, +1 646 823 6776 (USA)
About Alphagreen Group:
Alphagreen Group is an e-commerce platform and technology provider. The group is focused on emerging e-commerce verticals such as CBD and other alternative healthcare products, providing a comprehensive marketplace for consumers and brands in niche industries such as CBD, Medical Cannabis, Nootropics alongside new exciting brands within the wellness and beauty space.
Founded in 2019, Alphagreen was born from a passion for health and well-being, combined with technology and innovation.
The brainchild of entrepreneurs Alexej Pikovsky and Viktor Khliupko, Alphagreen was created to simplify the entire experience with alternative healthcare products along every step of the consumer journey.