Canopy Growth, Acreage Plan To Launch Cannabis-infused Beverages In U.S.

(RTTNews) – Canadian cannabis company Canopy Growth Corp. and New York-based Acreage Holdings, Inc. said they plan to launch Canopy Growth’s cannabis-infused beverage portfolio in the U.S. next summer.

Acreage expects to launch Canopy Growth’s select, sessionable THC beverage formulations in the summer of 2021 in legal adult-use markets in Illinois and California. In addition to selling the products in its own dispensaries, Acreage said it will access existing distribution channels through strategic corporate relationships.

Tetrahydrocannabinol or THC is a psychoactive compound in marijuana that induces the ‘high’ and hallucinogenic effect in the user.

The move to launch the products in the U.S. market comes after the two companies announced the implementation of their amended arrangement and also as Canopy Growth has been encouraged by the sale of its cannabis-infused beverages in Canada.

“We have had an incredibly successful introduction into the Canadian cannabis-infused beverage industry with over 1.7 million cans of our THC-infused RTD beverages, like Tweed’s Houndstooth & Soda and Bakerstreet & Ginger sold to date,” said Canopy Growth CEO David Klein.

Klein noted that Canopy Growth now owns five of the top six performing products in the beverage category in Canada, with a 74 percent market share.

Canopy Growth launched new products, including cannabis-infused beverages, chocolates and vape products, into the Canadian recreational marijuana market earlier this year.
The first two of Canopy Growth’s ready-to-drink cannabis-infused beverages, Tweed Houndstooth & Soda and Tweed Bakerstreet & Ginger, shipped in March 2020 and April 2020, respectively.

“We see THC-infused beverages as a game-changer in U.S. cannabis, and we are excited to launch Canopy Growth’s unique beverage offerings to our core markets offering the greatest growth potential next year,” said Bill Van Faasen, Interim CEO of Acreage Holdings.

Canopy Growth is partly owned by brewer Constellation Brands, the maker of Corona and Modelo beers.

Canopy Growth and Acreage said they look forward to bringing a sessionable infused beverage offering to U.S. consumers that will more closely liken itself to current beverage-alcohol serving sizes.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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