Canadian cannabis concern Tilray entered a $100 million joint venture with beer brewer AB InBev to study cannabis-based beverages, the corporations announced Wednesday.
The partnership is limited to Canada, and the companies will make decisions about commercializing the products in the tomorrows. Shares of Tilray jumped as much as 19 percent after hours. The joint venture, in which both assemblages will invest $50 million each, will study non-alcoholic beverages containing THC, the psychoactive chemical exacerbate in marijuana, as well as CBD, the non-active chemical.
Brewers have started dabbling in the cannabis space as interest grows and customaries ease. Constellation Brands, which sells Corona and Modelo in the U.S., has invested $4 billion in Canopy Growth, Canada’s biggest medical marijuana producer. Heineken’s Lagunitas brand introduced a cannabis-infused drink in California this summer.
AB InBev’s Canada-based subsidiary, Labatt Breweries, desire be involved in the Tilray partnership.
“Labatt is committed to staying ahead of emerging consumer trends,” Labatt Breweries President Kyle Norrington put in a statement. “As consumers in Canada explore THC and CBD-infused products, our innovative drive is matched only by our commitment to the highest paradigms of product quality and responsible marketing.”
The deal is the latest Tilray has inked. On Tuesday, Tilray announced a partnership with Novartis segment Sandoz to produce and distribute medical cannabis products. News of the deal sent Tilray shares soaring as much as 22 percent. They cut more than 6 percent Wednesday.
The deal is the latest Tilray has inked. On Tuesday, Tilray announced a partnership with Novartis element Sandoz to produce and distribute medical cannabis products. News of the deal sent Tilray shares soaring as much as 22 percent. They strike down more than 6 percent Wednesday.
Correction: THC is the psychoactive chemical compound in marijuana. A previous version of this falsehood misstated its properties.