Zenabis Global Inc ZENAZBISF, a licensed cultivator of medical and recreational cannabis, announced Tuesday an agreement aimed at vertical integration.
What Happened
Zenabis has entered into an agreement with beverage technology company Beverage Partner that will supply it with water soluble, odorless, flavorless and colorless cannabis-infused inputs.
Zenabis will use the technology to manufacture cannabis-infused beverages, both THC and CBD-infused beverages, and other cannabis-infused products. The beverage inputs supplied by Beverage Partner will be produced from cannabis supplied by Zenabis.
Click here for more information about the upcoming Benzinga Cannabis Capital Conference Oct. 22-23 in Chicago.
Beverage Partner may also produce finished cannabis-infused beverages for Zenais by installing a production line for both beverage Inputs and finished cannabis-infused beverages, at its own cost, at Zenabis Stellarto.
Zenabis said it will produce a line of CBD-infused kombucha products together with Hillsboro Corp.
Why It's Important
The move is to capitalize on the impending legalization of cannabis-infused beverages in Canada later this year. The Canadian market for these beverages is estimated at $529 million, the company said.
"[S]o the ability to infuse cannabis in beverages; without affecting their taste, smell or appearance; strengthens Zenabis' position relative to the many other companies planning to commercialize similar products," said Andrew Grieve, CEO of Zenabis.
The company recently reported its second-quarter net revenues more than doubled, and remains on track to achieve an annual cannabis cultivation capacity of 143,200 kg under its current capital program.
Don’t miss out on the top cannabis stories of the day. Click here to sign up for our daily insider newsletter
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
The Benzinga Cannabis Capital Conference is coming to Florida
The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.
Get your tickets now on bzcannabis.com – Prices will increase very soon!