By Sourasis Bose

(Reuters) – Demecan Group, one of Germany’s largest cannabis producers, recently completed its latest round of funding, bringing its valuation close to 100 million euros ($109.24 million), a person familiar with the matter told Reuters on Wednesday.

The funding round was led by Florida-based Trog Hawley Capital, marking the first institutional investment by a U.S.-based investor in Demecan.

While financial details on the latest funding were not known, according to the source, the company managed to raise a “high seven digit number”, mostly in equity and some debt.

Germany, the largest medical cannabis market in Europe, is drawing overseas investments at a steady pace after it decriminalized cannabis possession in April.

Demecan is one of a handful of German companies allowed to grow cannabis and raised 15 million euros via loans and equity in 2022.

The company intends to use the latest investment to improve its online selling platform, among other things.

Trog Hawley Capital did not immediately respond to a Reuters request for comment.

($1 = 0.9154 euros)

(Reporting by Sourasis Bose in Bengaluru; Editing by Pooja Desai)