The first hashish firm to stage an IPO on the London Stock Exchange will this week set up a City veteran as its chairman and unveil a multimillion-pound fundraising.

Sky News has learnt that Kanabo Group, which produces medicinal hashish merchandise and operates an NHS-approved telehealth service, will announce on Tuesday that Ian Mattioli will turn into its new non-executive chairman.

Mr Mattioli, co-founder and chief govt of the pensions and wealth administration consultancy Mattioli Woods, may also make investments £500,000 in Kanabo shares as a part of a £3m money name.

Existing administration and different shareholders may also take part within the share sale, in line with insiders.

He will exchange David Tsur, who has chaired Kanabo because it went public in February 2021 and has now turn into deputy chair.

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Mr Mattioli's recruitment is more likely to be well-received by traders who've seen Kanabo's inventory droop by practically a 3rd over the past 12 months.

The firm now has a market worth of lower than £14m.

It has seen a string of boardroom departures in current months.

In March, Kanabo launched Treat It, a brand new service targeted on persistent ache administration utilizing plant-based medication and coverings unavailable by way of conventional channels.

A spokesman declined to touch upon Mr Mattioli's appointment or its impending fundraising.