Molson Coors Beverage Company has expanded its partnership with Canadian cannabis firm HEXO to form a new joint venture (JV) company called Truss CBD USA.

The JV company will make non-alcohol hemp-derived cannabidiol (CBD) beverages in Colorado.

The partnership is part of Molson Coors’ strategy to grow beyond the beer aisle with wine, spirits and non-alcohol drinks.

Molson Coors emerging growth president Pete Marino said: “CBD beverages are a growing segment within the non-alcohol beverage category and this JV provides us with an opportunity to build capabilities in Colorado.

Covid-19 Report — Updated twice a week Understanding the Covid-19 outbreak, the economic impact and implications for specific sectors

Covid-19 executive briefing report cover
GlobalData

Our parent business intelligence company

“We chose Colorado because of its established regulatory framework for CBD and we plan to approach any opportunities in full alignment with our commitment to commercial responsibility, transparency and compliance.”

The newly formed JV company will be a standalone business entity and will be majorly owned by Molson Coors.

Truss CBD USA will be carrying out all the production and distribution activities within the state of Colorado.

Given the current climate, how long do you anticipate it will take for the global economy to recover post COVID-19?

View Results

Loading ... Loading ...

Additionally, the JV company will have its own board of directors, management team, resources and go-to-market strategy.

Molson Coors further added that no hemp-derived CBD products will be produced at its facilities.

The two companies have already created a JV company called Truss Beverages for producing non-alcoholic cannabis-infused beverages for the Canadian market.

Currently, Truss is preparing for the launch with the completion of product formulations, branding and construction of a cannabis beverage production facility in Belleville, Ontario.

It is expected to launch its first beverages in Canada later this year.

HEXO co-founder and CEO Sebastien St-Louis said: “Molson Coors and HEXO have already built a great partnership in Canada that we believe will produce some of the best adult non-alcohol beverage brands in the Canadian market.

“I am thrilled with the opportunity to bring those learnings to Colorado, under the leadership of Molson Coors, Powered by HEXO.”