Zenabis Global (TSX:ZENA) has secured a supply of cannabis-infused inputs for the production of cannabis-infused beverages and other products.
Under the accord, Zenabis will provide cannabis to anunnamed beverage partner to produce water-soluble, odorless, flavorless and colorless cannabis-infusedinputs. Zenabis will use the inputs to produce a range of THC and CBD-infused beverages that have onset times of less than five minutes.
The beverage inputs will also be used to produce a line of CBD-infused kombucha products with Zenabis’ cultured tea beverage-maker partner, Hillsboro, in which Zenabis has a 51% stake.
“This agreement puts Zenabis in a strong position to compete in the cannabis-infused beverage market once these products are legalized in Canada later this year,” Andrew Grieve, CEO of Zenabis, said in a statement.
“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,” he added.
At Zenabis’ option, the beverage partner may, at its own cost, install a production line at ZenabisStellarton for both beverage inputs and finished cannabis-infused beverages in order to produce finished products at the site.