Overview on LEVEL and Beverage Companies focussed on Cannabis Companies
I have put together an overview of where we are and the focus specifically around LEVEL, and why beverage and alcohol companies are all flocking to cannabis companies.
What does a beer company do to hedge against slowing growth in its main business? In the case of the parent company of Corona, the answer is to invest heavily in the marijuana industry.
Constellation Brands, which also makes Robert Mondavi wine and Svedka vodka, announced Last month that it had invested $4 billion in Canopy Growth, a publicly traded Canadian cannabis producer. The deal comes nearly 10 months after Constellation first took a 10 percent stake in Canopy to help create nonalcoholic cannabis-infused drinks and other products.
Constellation’s investment in Canopy, the biggest known deal in the marijuana industry, shows just how far traditional alcoholic beverage companies are willing to go to find growth. As sales of beer fall in the United States, brewers have begun to bet that legalization of marijuana around the globe, especially the United States, will continue to build momentum and sales of cannabis products will take off.
Research firm Euromonitor estimates that the U.S. market for legal marijuana products will reach $20 billion by 2020, up from $5.4 billion in 2015.
While a number of states have legalized the recreational use of marijuana in recent years, purchasing or possessing it remains a federal crime. Constellation said in November that it does not plan to sell cannabis products in the United States while it remains illegal on the federal level.
But as cannabis becomes legal in more countries — in Canada, for example, recreational use will become legal on Oct. 17 — alcoholic beverage companies are trying to buy into the cannabis industry before they become disrupted by it.
How concerned are beer companies? Molson Coors listed legal cannabis among the biggest possible risks to its business in its annual shareholder report earlier this year:
“The emergence of legal cannabis in certain U.S. states and Canada may result in a shift of discretionary income away from our products or a change in consumer preferences away from beer.”
So far Heineken and Molson Coors have moved to sell cannabis-infused drinks. Heineken’s Lagunitas brand has started selling nonalcoholic sparkling water featuring THC, the active component of marijuana. And Molson Coors has formed a joint venture with Hydropothecary, a weed producer, to make cannabis-infused beverages.
Under the terms of Wednesday’s deal, Constellation’s stake in Canopy will increase to 38 percent and Constellation has the right to raise that to 50 percent.
“As the leader in the total beverage alcohol space, we look forward to reaping the benefits of our cannabis investment, which we see as incremental to our core beer, wine and spirits portfolio,” Robert Sands, Constellation’s chief executive, told analysts on a call Wednesday.
But such bold moves still face a number of hurdles. The Justice Department under Attorney General Jeff Sessions has toughened its stance on marijuana-related crimes, making the future of cannabis regulation uncertain.
The Creation of LEVEL
What exactly is CBD water? Simply put, it’s plain old H2O infused with the perfect dose of CBD to maintain this healthy and natural cannabinoid in the human body.
Water is frequently referred to as the source of life, and we all know how significant the physical changes can be from simply staying properly hydrated. The process of enhancing water with vitamins, minerals, ions, and electrolytes is not a new concept by any stretch. Considering CBD is not only naturally occurring in plants, but our own bodies produce cannabinoids as well, it makes sense that CBD and H20 would eventually be linked.
Benefits of Drinking CBD Water (LEVEL)
While the product itself is groundbreaking, what’s really interesting about it is the science behind its creation. Not only is this water perfectly balanced with a pH of 7.4 – slightly on the alkaline side which is ideal – but adding the CBD requires a very precise science that deals with atoms and subatomic particles.
In their natural form, CBD particles are too large to add to water, so they need to be broken down to nanoparticles which are one-millionth of their original size. These small particles can then be encapsulated and homogenized into the water. This makes it much easier for CBD to penetrate the blood-brain barrier and other tissues. It’s also much easier to digest in this nano structure. Typically, each standard size water bottle contains 50 mg of cannabidiol.
What Ailments Benefit Most From CBD Water?
Some experts claim that CBD has been shown to alleviate symptoms and even completely treat many different ailments such as inflammation, muscle pain, nausea, and anxiety. Experts believe that many of these conditions could be treated more easily with CBD-infused water. According to these sources, CBD water has also been used to ease discomfort related to cancer, PTSD, epilepsy, multiple sclerosis, and opiate addiction. The ease with which CBD water delivers its dose makes the treatment possibilities virtually limitless.
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