Molson Coors in joint venture to produce cannabis beverages

Molson Coors quickly followed words with deeds and reported on 1 August 2018 that it has entered into a joint venture in Canada to develop cannabis-infused beverages for the domestic market.

The Denver brewer said its Canadian unit, Molson Coors Canada, is teaming with Canadian cannabis producer, The Hydropothecary Corporation (HEXO), to create a joint partnership “to pursue opportunities to develop non-alcoholic, cannabis-infused beverages for the Canadian market following legalisation.” Recreational marijuana will become legal in October this year.

Molson Coors Canada will have a 57.5 percent controlling interest in the as yet unnamed stand-alone venture and HEXO will own the rest. The deal will be finalised by the end of September.

Most likely, the new beverages will be marketed as refreshing and relaxing as well as functional – much like sports supplements.

Hexo was founded in 2013 in east Gatineau, Quebec, and has grown rapidly. It recently renamed itself Hexo. While it will continue to use the Hydropothecary moniker for its medical products, anything aimed at the recreational market will carry the new brand.