As we previously suspected, it appears that all the money in the world evidently can’t always bring you the answers, or solutions, you need. Despite hundreds of millions of dollars being thrown at the cannabis-infused beverage space in Canada, neither Canopy Growth (TSX: WEED) (NYSE: CGC) nor Hexo Corp (TSX: HEXO) (NYSE: HEXO) with their high profile beverage alcohol partners were the first to market with an infused beverage. That title, by all accounts, appears to be going to that of The Valens Company (TSXV: VLNS).
The company this morning announced that they will be launching a cannabis-infused beverage in Ontario, which is expected to arrive at select retailers in the coming days. The products are produced under a previously announced white label agreement with Iconic Brewing. Two products are being produced initially, with the first being a “CBD-forward” iced-tea known as BASECAMP which will be in stores in Ontario in the “coming days.”
The second product, which is “THC-forward” is referred to as SUMMIT, a citrus water, and is expected to arrive on store shelves in the coming weeks. Both products will be available in Ontario initially before becoming available in other markets.
Under the terms of the white label agreement, a minimum of 2.5 million beverages will be manufactured over a period of five years, which has opportunities for expansion as well. The beverages will be manufactured by Valens, utilizing the firms proprietary “SōRSE by Valens” emulsion technology. The tech is stated to make cannabis oil water soluble, which then better infuses into beverages and provides faster onset times than that of traditional edible products.
Our agreement with [Iconic] demonstrates the strategic value of partnering with leading companies that share our vision and reinforces our commitment to launching the Cannabis 2.0 products that consumers are looking for. This is the next step in the execution of our strategy to introduce innovative, high-quality products that deliver safe and customized user experiences.
Tyler Robson, CEO of Valens
The products are believed to be the first ready-to-drink cannabis-infused beverages to hit store shelves in Canada. TerrAscend (CSE: TER) currently offers something within the category, a cannabis infused tea bag, however this requires the end user to brew the product themselves.
The Valens Company last traded at $3.37 on the TSX Venture.
Information for this briefing was found via Sedar and Valens GroWorks. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
