Red Light Holland Corp. (Canadian: TRIP) (OTC:TRUFF), a company looking at recreational markets in the psychedelics space, closed two major acquisitions this week.
On Tuesday, the company finalized the purchase of Radix Motion Inc., a virtual reality company looking to empower the psychedelics sector with immersive technology.
Then on Thursday, Red Light Holland gained a majority stake in Happy Caps, a mushroom farm in Nova Scotia, Canada, which sells edible non-psychedelic mushrooms, as well as “grow your own mushroom kits.”
Mushroom Company Acquisition: Happy Caps currently focuses on growing and selling functional mushroom products like Shiitake, Lion’s Mane and Oyster mushrooms.
Red Light Holland acquired 80% of Happy Caps for CA$450,000 ($317,000), divided between CA$50,000 in cash and 1.2 million common shares of the company.
The company stated plans to expand the Happy Caps platform into Europe via a wholly-owned subsidiary that distributes “magic truffles,” cannabis products and grow shop items in the Netherlands.
The acquisition also serves as a forward-looking asset that could produce and commercialize psychedelic mushrooms, as well as “grow-at-home” kits, if and when regulation allows. For the time being, mushrooms of the Psilocybe genus (capable of producing psilocybin), remain scheduled in North America.
“We are planning for and believe in an entire world where one day adults may legally have the ability to access natural-occurring psilocybin, and much like The Cannabis Act, which permits adults to cultivate up to 4 cannabis plants per household, have the ability to grow magic mushrooms at home,” said Todd Shapiro, CEO and director of Red Light Holland.
“Our acquisition of Happy Caps has that long-term idea in mind, but until that becomes a reality we are incredibly excited by the opportunity to accelerate Happy Caps’ already impressive growth trajectory within the grow-at-home gourmet mushrooms segment,” he added.
Virtual Reality Platform: Red Light Holland purchased Radix Motion Inc. for approximately $67,000 and 12 million shares (valued at around $3.1 million).
Radix’s flagship software is MEU, a virtual and augmented reality platform dubbed “the first immersive social platform that is based on 3d human movements.”
With this acquisition, Red Light Holland plans to leverage Radix’s technology to build bridges between the psychedelic experience and virtual reality.
“I believe the future of psychedelics will be using technology like ours to create support structures and customizable settings that will allow for tight feedback loops to help people achieve personal growth,” said Sarah Hashkes, CEO of Radix Motion and CTIO of Red Light Holland.
Hashkes said the companies plan to use her own neuroscience research in movement data and psychedelics along with Radix co-founder Matthew Hoe’s expertise in virtual and augmented reality to link the human body with immersive technology.
“With Red Light Holland’s support, we can further our vision and build technology that increases the bandwidth of human connection by linking us to our body and to each other in alignment with the magic of psychedelics,” Hashkes said.