Cannabis Collaborations Are the Way of the Future

The cannabis industry has been notoriously successful over the course of the past several months to years, but much of the recent news has helped the industry to gain a large amount of notoriety over the past few days. The cannabis industry has evolved into several different sectors which have all contributed to the changing dynamics of the industry and how companies interact with one another. Companies in the cannabis space have also had reportedly high numbers of collaborations which has led to even more participation from outside investors into the space.

The most notable of these partnerships of the past week or two has been the introduction of Coca-Cola (NYSE:KO) to the company Aurora Cannabis (NASDAQOTH:ACBFF). The latter has stated that the two have been in serious talks about how they could begin to develop cannabis-infused beverages for sale on the market in the not too distant future. One reporter stated that Coca Cola has been “along with many others in the beverage industry, we are closely watching the growth of non-psychoactive CBD [cannabidiol] as an ingredient in functional wellness beverages around the world. The space is evolving quickly.” There is no doubt that the company has managed to evolve quite quickly as well in terms of some of the bigger guys in the industry, but adding cannabis-infused drinks to the market would surely help them to continue growing the space.

The next partnership and one that has been on the table for some time now has been the introduction of Constellation Brands (NYSE:STZ) to Canopy Growth Corporation (NYSE:CGC). Constellation Brands has been one of the largest beverage producers and distributors in recent times with many popular brands on the market. The company has stated now after their third investment in Canopy, totaling over $4 billion, that they would like to begin producing these cannabis-infused beverages as well.

While Canopy has been working on producing cannabis-infused drinks that are aimed at combating the alcohol industry, Aurora has been working with Coca-Cola to develop drinks that are targeted at specific therapeutic results such as inflammation reduction and pain reduction among others. In addition to this key difference, it seems as though Constellation is more interested in investing Canopy Growth while Coca-Cola has been working to simply form a mutually beneficial joint venture.

The impact of these partnerships has been quite large for the whole of the market in recent times. Many of these partnerships have helped to change the ideology surrounding investing in cannabis, as before, many institutional investors stayed away from the market due to its perceived illegitimacy. Now that some of these large names in business have decided to not only be interested, but put in large sums of money, it seems as though many of the investors who were wary to invest at the beginning, have become much more comfortable with the idea. The hopes are that this can continue into the near future as the cannabis industry continues to stabilize in the coming days to months. Only time will tell how these partnerships continue to effect the cannabis market as a whole.

---

MAPH Enterprises, LLC | (305) 414-0128 | 1501 Venera Ave, Coral Gables, FL 33146 | new@marijuanastocks.com