Medicinal cannabis company Eco Equity has announced that it is pulling out of plans to advance into the tourism and dispensary sector in the Caribbean due to the disruption of the tourism and cruise ship industry.

The company made the decision after deciding it was too high risk to their investors' interests to continue.

Eco Equity is based in London and is the pharmaceutical arm of investment vehicle JPD Capital, which was launched in January 2019. Eco Equity's flagship project is based in Zimbabwe and the company is looking at strategic expansion in new regions, to complement its existing high-valued and rapidly scaling project portfolio.

Eco Equity CEO Jon-Paul Doran commented: "Eco Equity has been in discussion with the Antiguan government over several months to invest in Antigua with a retail project that would have added value to Antigua's tourism income. Understandably, the COVID-19 pandemic has had a huge impact on tourism globally, including in Antigua.

"As such it is right for the Antiguan government to focus on increasing their visitor numbers and on a focused tourism recovery plan. With much regret, Eco Equity has had to review existing projects in Antigua and has decided that in the best interests of our partners and investors, we will be halting our expansion plans in Antigua and refocusing expansion and investment elsewhere. Our dual business model of Dispensary and Lounge was heavily dependent on cruise-ship tourism to the Island, as well as the smaller domestic market opportunity.

"Eco Equity would like to thank the Antiguan authorities for their support and hope that the future environment will be more beneficial for investment."

Eco Equity secured one of five licences to cultivate cannabis for medicinal purposes in Zimbabwe in late 2018. Cultivation was due to start as scheduled in the second quarter of 2020, however coronavirus has delayed that until the end of Q4 2020.