Althea Group Holdings is on a high today, up 11 percent on the ASX on announcing that its Canadian subsidiary, Peak Processing, has joined forces with Flora Growth to introduce cannabis drinks to the US beverages market.
The cannabis medicinal and recreational company said Peak and Flora had developed five new flavoured beverages to be sold in wine and liquor stores across the United States including: wild berry and grapefruit flavours and cloud cola. The JV’s soda brands will introduce classic cola, root beer, and orange creamsicle flavours.
Peak has captured 40% of the Canadian market and already manufactures its cannabis emulsion Envision™ in the US from locally sourced hemp, which will become the active ingredient in the US for the cannabis beverages.
Peak is expanding its reach into the US via the joint venture with Flora, which already has an extensive cannabis and sales network across the US and a successful e-commerce platform reaching over 350.000 registered customers.
“The US cannabis beverages market, valued at USD$966.92 million in 2024 and projected to reach USD$19.06 billion by 2028, presents a significant growth opportunity for Peak,” Althea said.
The JV said it will target wine and liquor stores as a preferred outlet to state licensed cannabis dispensaries.
“Peak’ brings its production and quality expertise to Flora’s sales and marketing experience within the dynamic landscape of lifestyle cannabis in the US,” Althea said.
Towards close Althea was trading at 3 cents.