California marijuana company Vertical is talking to banks about an IPO for its CBD business and just raised a fresh $58 million in preparation

Vertical, a California marijuana producer, closed a $58 million funding round, led by Merida Capital Partners. Smoke Wallin, Vertical’s president, said the round will lay the groundwork for the company to spin off its hemp and CBD business into a standalone entity . They’ll seek to list the CBD business, Vertical Wellness, on the NASDAQ by the fourth quarter of this year.