CannabisNewsWire
Editorial Coverage: The market for cannabidiol (CBD) beverages
alone could achieve a value of $260 million in the
United States by 2022. CBD beverages form part of an even wider
market for marijuana-infused drinks that is predicted to reach a
value of $600 million in three years’ time.
- U.S. market for CBD and THC beverages could reach $600 million
by 2022.
- Cannabis-infused drinks could outperform other cannabis
products.
- Non-cannabis and cannabis companies alike are joining this new
market.
Savvy companies are looking to position themselves in this
burgeoning market, often by partnering with companies that provide
invaluable experience in the sector. Youngevity
International Inc. (NASDAQ: YGYI) (YGYI
Profile), an established omni-direct lifestyle
company, has formed a cross-marketing agreement with a bottled
spring water company, which will see the pair develop new products
including a ready-to-drink CBD beverage. Tilray Inc.
(NASDAQ: TLRY) is partnering with the world’s largest
brewer in a $100-million joint venture to research cannabis-infused
nonalcoholic drinks. Canopy Growth Corporation (NYSE: CGC)
(TSX: WEED) recently received a $4 billion investment from
a leading beer maker. Other companies are looking to grow in
additional cannabis spaces. Aurora Cannabis Inc. (NYSE:
ACB) (TSX: ACB) recently received a license from Health
Canada permitting the sale of cannabis softgel capsules. And
GW Pharmaceuticals (NASDAQ: GWPH) announced that
its FDA-approved anti-epileptic drug is now available in the United
States.
To view an infographic of this editorial, click here.
Injecting Growth into Product Portfolios
Recent reports by Canaccord Genuity indicate that cannabis and
CBD-infused beverages have the potential to outperform cannabis
products, reaching up to 20 percent of the
market for cannabis-containing consumables by 2022. "While
these trends represent a significant opportunity for U.S. cannabis
companies, they have not gone unnoticed by large mainstream
beverage players looking to inject growth into their product
portfolio," said Canaccord analyst Bobby Burleson, who also
predicts that ready-to-drink CBD beverages will form part of the
growing market for wellness drinks.
Indeed, a number of U.S and Canadian pharmaceutical, cannabis,
beverage and even lifestyle companies have developed or are
planning to develop CBD-infused beverages. These developments often
begin with, or result in, new partnerships.
Joining Forces to Share, Build and Develop
Youngevity International Inc. (NASDAQ:
YGYI) has entered an exclusive cross-marketing
agreement with Icelandic Glacial™. The agreement includes plans to
develop new products including CBD drinks in order to extend the
market for Youngevity’s lifestyle brands and Icelandic Glacial’s
market reach.
Icelandic Glacial bottled water will be added to Youngevity’s
roster of health, wellness, food and beverage brands. Owned by
Icelandic Water Holdings and registered in Iceland, the Icelandic
Glacial brand offers water that comes from the naturally alkaline
spring Ölfus Spring, has a low mineral content and is certified
CarbonNeutral®.
Youngevity and Icelandic Glacial have agreed to partner for
three years. Icelandic Glacial bottled water will be sold alongside
Youngevity’s direct selling supplements, including 90 for Life, CBD
products, pet supplements and the coffee holdings of Youngevity’s
wholly owned subsidiary, CLR Roasters. During the three-year
period, Youngevity will not promote any other bottled water, and
Icelandic Glacial will not promote any other supplement businesses
or products.
“With its rare, naturally occurring, high-pH level, low-mineral
content, and unique lava rock filtering system — as well as its
positioning as the world’s first CarbonNeutral bottled water
company — Icelandic Glacial is perfectly positioned to serve not
only customers who want a pure-tasting water that makes them feel
and perform their best but also eco-friendly consumers who want to
make sure their money goes to brands with a conscience,” said Steve
Wallach, CEO of Youngevity International Inc.
Youngevity will use its marketing and multilevel marketing
expertise to help Icelandic Glacial build its brand and reach new
customers in the United States and around the globe. In return,
Icelandic Water Holdings plans to introduce its customers to
Youngevity’s health and nutrition products. Icelandic has a 14-year
history of serving health and quality-conscious consumers while
building a brand known for purity. The company has a completely
sustainable operation fueled solely by geothermal and hydroelectric
power. Icelandic Water is committed to reaching a target of
net-zero greenhouse gas emissions.
Entering the CBD Product Market
The development of a ready-to-drink CBD beverage will be the
first of the partnership’s potential new products. Future ideas may
include possible special products for a range of markets based on
CBD and other life-enhancing supplements.
Youngevity first entered the $7.7 billion cannabis industry with
the introduction of its Hemp FX™ brand
in October 2018. The new product line includes three blends of
hemp-derived cannabinoid oil products: a topical cream, softgel
capsules and a relaxing sleep oil. Each formula contains
organically grown hemp-derived cannabinoids combined with
Youngevity signature nutrients.
“Hemp-derived cannabidiol aligns with what we do very well,”
said Wallach. “We’ve taken what we know about
essential nutrients, along with decades of knowledge specializing
in natural, plant-based nutrition and their most beneficial
nutrients, and put that knowledge to work to develop high-end
cannabidiol products.”
Youngevity operates a hybrid direct-sales business model
combined with e-commerce and social selling to deliver a virtual
main street of products and services under one entity. Its entire
range includes products from eight top-selling retail categories
including health/nutrition, home/family, food/beverage (including
coffee), spa/beauty, fashion, essential oils and photo.
A Global Market Worth $22 Billion by 2020
Reports suggest the entire hemp-derived CBD market will hit $22 billion globally by 2022. Much of the focus on
CBD-infused products and drinks is towards the healthy lifestyle
consumer market. However, more big brand beverage companies are
expected to enter the industry and create CBD-infused non-alcoholic
beverages for a broader spectrum of consumers. CBD-focused
developments and partnerships are likely to increase as industry
regulation becomes clearer.
For example, medical cannabis company Tilray (NASDAQ:
TLRY) announced a research
partnership with Labatt Breweries parent company AB InBev to
explore the potential of THC- and CBD-infused non-alcoholic
beverages. This partnership will be limited to Canada, with Tilray
participating through its Canadian adult-use cannabis subsidiary.
The partnership calls for each company investing up to $50 million
in the project.
Canopy Growth Corporation (NYSE: CGC) (TSX:
WEED) continues to benefit from a massive multibillion-dollar investment by Corona-beer maker
Constellation Brands. The move will extend the collaboration from
the development of cannabis-based beverages to co-developing
products across a complete range of cannabis extracts. It also
allows Canopy Growth to build scale in the more than 30 countries
considering legalization of medical cannabis and establish
essential infrastructure required to supply new recreational
adult-use markets.
After obtaining the required licensing, Aurora Cannabis
(NYSE: ACB) (TSX: ACB) has commenced shipments of cannabis
softgel capsules for both the Canadian medical and adult-use
markets. The company expects to start exporting to international
markets early this year. Aurora intends to make its smoke-free
softgel product available to all of its domestic and international
target markets over time where legally possible. "Softgels are a
high-volume, high-margin product for both the medical and adult-use
markets that are in strong demand, and Aurora is one of few
companies making these products available to patients and consumers
alike," said Aurora CEO Terry Booth.
Apart from cannabis-infused beverages, GW
Pharmaceutical’s (NASDAQ: GWPH) product EPIDIOLEX is the
first FDA-approved CBD oral medicine available
by prescription in the United States for the treatment of seizures
associated with Lennox-Gastaut syndrome or Dravet syndrome in
patients two years of age or older. Its Sativex brand was the
first-ever natural cannabis plant derivative to achieve market
approval.
For more information on Youngevity, visit Youngevity
International, Inc. (NASDAQ: YGYI)
About CannabisNewsWire
CannabisNewsWire (CNW) is an information service that provides
(1) access to our news aggregation and syndication servers, (2)
CannabisNewsBreaks that summarize
corporate news and information, (3) enhanced press release
services, (4) social media distribution and optimization services,
and (5) a full array of corporate communication solutions. As a
multifaceted financial news and content distribution company with
an extensive team of contributing journalists and writers, CNW is
uniquely positioned to best serve private and public companies that
desire to reach a wide audience of investors, consumers,
journalists and the general public. CNW has an ever-growing
distribution network of more than 5,000 key syndication outlets
across the country. By cutting through the overload of information
in today’s market, CNW brings its clients unparalleled visibility,
recognition and brand awareness. CNW is where news, content and
information converge.
Receive Text Alerts
from CannabisNewsWire: Text "Cannabis" to
21000
For more information please visit https://www.CannabisNewsWire.com and
or https://CannabisNewsWire.News
Please see full terms of use and disclaimers on the
CannabisNewsWire website applicable to all content provided by CNW,
wherever published or re-published: http://CNW.fm/Disclaimer
CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.net
DISCLAIMER: CannabisNewsWire (CNW) is the source of the Article
and content set forth above. References to any issuer other than
the profiled issuer are intended solely to identify industry
participants and do not constitute an endorsement of any issuer and
do not constitute a comparison to the profiled issuer. The
commentary, views and opinions expressed in this release by CNW are
solely those of CNW. Readers of this Article and content agree that
they cannot and will not seek to hold liable CNW for any investment
decisions by their readers or subscribers. CNW is a news
dissemination and financial marketing solutions provider and is NOT
registered broker-dealers/analysts/investment advisers, hold no
investment licenses and may NOT sell, offer to sell or offer to buy
any security.
The Article and content related to the profiled company
represent the personal and subjective views of the Author, and are
subject to change at any time without notice. The information
provided in the Article and the content has been obtained from
sources which the Author believes to be reliable. However, the
Author has not independently verified or otherwise investigated all
such information. None of the Author, CNW, or any of their
respective affiliates, guarantee the accuracy or completeness of
any such information. This Article and content are not, and should
not be regarded as investment advice or as a recommendation
regarding any particular security or course of action; readers are
strongly urged to speak with their own investment advisor and
review all of the profiled issuer’s filings made with the
Securities and Exchange Commission before making any investment
decisions and should understand the risks associated with an
investment in the profiled issuer’s securities, including, but not
limited to, the complete loss of your investment.
CNW HOLDS NO SHARES OF ANY COMPANY NAMED IN THIS RELEASE.
This release contains “forward-looking statements” within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E the Securities Exchange Act of 1934, as amended and
such forward-looking statements are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act
of 1995. “Forward-looking statements” describe future expectations,
plans, results, or strategies and are generally preceded by words
such as “may”, “future”, “plan” or “planned”, “will” or “should”,
“expected,” “anticipates”, “draft”, “eventually” or “projected”.
You are cautioned that such statements are subject to a multitude
of risks and uncertainties that could cause future circumstances,
events, or results to differ materially from those projected in the
forward-looking statements, including the risks that actual results
may differ materially from those projected in the forward-looking
statements as a result of various factors, and other risks
identified in a company’s annual report on Form 10-K or 10-KSB and
other filings made by such company with the Securities and Exchange
Commission. You should consider these factors in evaluating the
forward-looking statements included herein, and not place undue
reliance on such statements. The forward-looking statements in this
release are made as of the date hereof and CNW undertakes no
obligation to update such statements.
Source:
CannabisNewsWire
Contact:
CannabisNewsWire (CNW)
Denver, Colorado
www.CannabisNewsWire.com
303.498.7722 Office
Editor@CannabisNewsWire.net
Tilray Brands (NASDAQ:TLRY)
Historical Stock Chart
From Aug 2024 to Sep 2024
Tilray Brands (NASDAQ:TLRY)
Historical Stock Chart
From Sep 2023 to Sep 2024