Quebec-based cannabis company Hydropothecary is partnering with Molson Coors to develop non-alcoholic cannabis-infused drinks in Canada.
They will form a standalone company with its own board of directors and independent management. Molson Coors will control 57.5 per cent of the unnamed venture, the company said in a news release.
Hydropothecary would own the rest.
“The new company will combine the proven beverage experience of Canada’s leading brewer with a recognized innovator in the fast-growing cannabis sector to explore the highly anticipated consumable cannabis market, which is expected to be legally permissible in Canada in 2019,” said Molson Coors.
The deal is expected to be finalized by the end of September.
Industry experts have pointed to the stigma of smoking as one reason companies are developing smoke-free ways to consume cannabis once its recreational use is legal in Canada as of Oct. 17.
Hydropothecary was founded in 2013 in east Gatineau and is in the midst of an expansion that would eventually see it produce up to 108,000 kilograms of dried cannabis per year.
It is poised to provide Quebec with 20,000 kilograms of cannabis products, including plants, sprays and powders, in the first year of legal sales.