LGC Capital Ltd., Creso Pharma and Baltic Beer Company Ltd have signed a binding letter of intent to develop and market a portfolio of cannabis and hemp alcoholic and non-alcoholic beverages.
Currently, the companies are developing a range of beer that uses formulated terpenes to mimic the terpenes of the cannabis plant. The terpenes will have the taste and aroma of cannabis but will contain no THC or CBD, which avoids regulatory issues.
"The cannabis-infused beverage industry is an emerging and growing industry and we see a lot of potential value in this market. We also note Constellation Brands' (NYSE: STZ) recent minority stake in Canada-based Canopy Growth Corporation which clearly signals real interest in this sector from much larger, established and more traditional business," said John McMullen, CEO of LGC.
The first test batch of terpene beer is expected to hit selected markets in April and May of 2018, with a wider commercial release in June or July.
