Solidum typically focuses on businesses which have established a “proof of concept” with a well thought out business plan and a heavy focus on the background and execution capabilities of the management team. Solidum rarely participates as an “Angel Investor”. Valuation is typically a heavy focus, with a strong preference for companies with either free cash flow, or a clearly defined runway to get to positive free cash flow. Many times, the businesses we are focusing on are in either disruptive or operate in quickly changing industries where capital is necessary to respond to those challenges and opportunities. The cannabis industry remains our primary focus. Solidum also has extensive experience in distressed and turn-around situations.
Solidum formed a joint venture with Stoic Advisory (Stoic) in September 2020 in order to act as co-advisors on targeted engagements in US cannabis. Stoic is based in Toronto, Ontario and was founded by Aaron Salz, who was the first sell side research analyst to cover cannabis in Canada, and later went on to serve as the CFO of Tokyo Smoke, among other investing and operational roles. Aaron has served as interim CFO and has founded and invested in numerous cannabis companies in Canada and the US. Stoic served as financial advisor to Grassroots Cannabis beginning in 2018 thru the merger with Curaleaf, and as a result, Brian Schinderle and Aaron Salz have a 3 year working relationship of working on M&A and capital markets activities together. The Solidum/Stoic alliance is targeting both merchant banking and advisory assignments for a select group of US based cannabis operators.