Consumer companies from Colgate-Palmolive to tobacco giant Altria are eying the opportunities that the commercialization of cannabis and its related products present. Restrictive regulation means the industry remains minute in SA, but this may change. Meanwhile, bigger companies are positioning for a slice of the action. JSE-listed firms Distell and Remgro have taken a tentative step into the rapidly growing cannabis sector with an investment into cannabis wellness brand Rethink. The brand was launched by Paarl-based Releaf Pharmaceuticals in 2019. The two firms, with Remgro investing via its venture capital arm Invenfin, have each purchased a 20% stake in the Rethink brand and range of products to establish a three-way partnership. Their vision is to grow its portfolio of cannabis-based products. They will join a small group of JSE-listed firms, including Labat Africa and penny stock Nutrition Holdings, which are positioning themselves for opportunities in the cannabis industry. Globally, liquor companies are watching the burgeoning cannabis industry with interest, and AB InBev, Molson Coors and Constellation Brands are all dipping their toes into the fast-growing industry. With a worldwide shift towards the legalization of cannabis products, the sector is poised for significant growth.
Mmp News Author, Medical Marijuana Program Connection, 01/21/2021 04:34:00