Canopy Growth Corporation, a Canadian cannabis giant expanding into international markets, has revealed that it will return to the United States to promote its new line of CBD drinks. The company has entered into an agreement with Southern Glazer’s Wine & Spirits, a major distributor of alcohol in the United States.
This follows the launch of their first line of CBD-infused drinks sold in the United States, Cuatro. Southern Glazer’s will initially distribute the beverage line in seven states during the first phase of the agreement, with plans for significant expansion in the coming months.
A national distributor with a strong presence across the country, Southern Glazer’s will bring the Canopy beverage line to mainstream retailers. The press release appears to refer to Canopy’s partnership with Constellation Brands as the catalyst for the new distribution agreement. The agreement also demonstrates the benefits of the company’s strategic relationship with Constellation Brands, a leading global beverage company, according to the press release.
In 2018, Constellation Brands bet $4 billion on Canopy, but immediate profitability did not materialize. This new agreement with Southern Glazer’s, along with the launch of the Quatreau beverage line, seems to prove that Constellation’s offerings are starting to pay off, or at least are starting to show signs of being a long-term play for market share.