The joint venture to produce and distribute BevCanna’s hemp-derived CBD products in Europe. Credit: Rick Proctor on Unsplash.

Cannabis infused beverage maker BevCanna has signed a non-binding letter of intent (LoI) to partner with Global CBD operator company Mota Ventures.

In the non-binding (LoI), BevCanna and Mota have expressed their interest to enter into a joint venture (JV) for manufacturing and distributing BevCanna’s hemp-derived CBD products. These include water-soluble powder beverage mix, as well as ready-to-drink beverages in Europe.

BevCanna chief strategy officer John Campbell said: “The JV with Mota is an excellent opportunity for BevCanna to partner with a strong, reputable brand in the Global CBD category.

“This agreement will leverage BevCanna’s expertise in manufacturing infused cannabinoid products and Mota’s reputation for creating safe, effective, high-quality CBD products.

“The European health and wellness market is growing vastly, and Europeans are eager to see more reputable North American brands and options from trustworthy producers, and we’re excited to be able to provide that.”

The JV company, equally owned by both companies, will have all associated costs split between the two companies, according to ownership interests.

Under the LoI, Mota will provide or source manufacturing, marketing, and distribution infrastructure, while BevCanna will provide brands, formulations, proprietary IP for water-soluble powders, RTD marketing and manufacturing expertise.

The JV will be valid for five years, with a renewal option for an additional five years.

Last November, BevCanna signed a non-binding letter of intent (LoI) to acquire Little West Holdings, a cold-pressed juice company in the US.

Based in California, Little West produces a wide range of juices including hemp-derived CBD cold-pressed juices.

West Holdings produces its hemp-derived CBD cold-pressed juices using nano-emulsified CBD, containing 0% Tetrahydrocannabinol (THC).