Mentor Capital, Inc. announced that it has extended into the Colorado cannabis market with its new investment in Pueblo West Organics, LLC. Cannabis veteran and Pueblo co-founder, Pat Leonard, comments, “Chet Billingsley and I first discussed working together back in 2013.
It’s great to see things come together with Mentor Capital and Pat Pen Products, which are available throughout Colorado and soon headed to other states.” As is its historic practice, Mentor would be pleased to make a series of cannabis focused investments with Pat Leonard and has set up Mentor Partner II, LLC as a vehicle for that purpose. The initial investment here is an approximately $400,000 lease of a system for supercritical extraction.
Mentor CEO, Chet Billingsley reports, the timing and source of funds for this cannabis investment follow the January 23, 2018 check for $1,758,949, received by Mentor marking full recovery with interest of money owed to it by Bhang Corporation under a Judgment by the United States District Court for the Northern District of California, in Mentor’s favor and against Bhang Corporation.
From an additional $286,718 also deposited by Bhang, for a total of $2,045,667, Mentor repurchased and recovered 117,000 shares of its common stock under the Judgment. In a related matter, on January 25, 2018 the United States District Court for the District of Utah dismissed a case which Mentor Capital had been defending and vacated its September 25, 2017 Memorandum Decision that questioned the authority of long ago warrant issuances in 2000.
With the closing of the Utah case on February 8, 2018, final receipt of funds, and resolving of remaining legal questions in Mentor’s favor, Mentor is free to rotate the Bhang funds over to Pat Leonard and others, and to resume its M&A activities in the cannabis space without restriction.