Corsica Innovations raises $4.5 million in private funding, mulls IPO

BOULDER — Cannabis startup Corsica Innovations Inc. has raised $4.5 million in a private offering, even as it contemplates an initial public offering.

Corsica manufactures a smartphone-controlled mini fridge used for growing cannabis, herbs and other plants. The product is known as “Leaf.”

The raise was reported in a May 6 Form D filed with the U.S. Securities and Exchange Commission and included debt, options and warrants. The date of first sale was April 11, 2019, and the funds were raised from 56 investors.

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Corsica Innovations was founded in Boulder but moved to Greeley in 2015 before moving back to Boulder in 2017, according to the Colorado Secretary of State.

Corsica had initiated a $2.5 million funding round but increased it to $4.5 million as it was oversubscribed, the company said in a press release.

The financing will enable Corsica to fund manufacturing operations, including about $4 million in existing pre-sales. The company has signed a manufacturing agreement with Foxconn subsidiary Ennoconn in China, with commercial manufacturing ready for launch. The company expects to begin filling orders by the end of 2019.

But the $4.5 million private offering could be followed by something far more significant: an IPO.

“LEAF is excited to announce its intent to consider a public listing in North America, and will report more on this matter as this initiative progresses,” the company said. “This initiative remains preliminary in nature, and as such there can be no guarantee that the company will be successful in this regard.”