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Seed Innovations Ltd on Monday said it has invested a further £50,000 in South West Brands Ltd, following the listing of its products at a UK high street retailer and online.
Seed is a Guernsey-based wellness and life sciences company. South West Brands is a London-based company that is seeking to establish itself as a multi-brand consumer goods group for the cannabidiol industry.
Seed said that the investment is by way of a three year, 8% convertible loan note as part of a funding round by South West Brands to raise up to £1 million, of which £570,000 has been secured.
Further, Seed has agreed to convert £50,000 of its 12 month, 8% convertible loan note into a three year, 8% convertible loan. This was originally subscribed for in July last year.
Together, the investment and conversion, brings the total amount invested by Seed to £500,000.
Further, Seed said that since it initially invested into South West Brands its products have been listed on Asos PLC and Superdrug Stores, marking a ‘significant step forward’.
Seed Chief Executive Officer Ed McDermott said: ‘The products have received a fantastic reception by consumers in what is fast becoming a burgeoning FemTech sector where South West Brands are leading the charge.’
‘Generating early revenues, with the products now increasingly available, we anticipate seeing a fast uptick in wholesale sales which will further lead to additional product development and hopefully support for the products availability outside of the UK,’ McDermott added.
Shares in Seed were up 0.6% to 4.23 pence each in London on Monday afternoon.
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