Cannabis businesses are rapidly gaining respect thanks to both public approval and the support of trusted corporations. The recent partnership between CVS Health Corporation (NYSE: CVS) and cannabis company Curaleaf Holdings, Inc. (CSE: CURA) (OTCQX: CURLF) serves as a credibility boost for the entire cannabis industry.
CVS will begin selling hemp-derived cannabidiol, or CBD, products this week in about 800 stores nationwide as part of a distribution deal with Curaleaf. CVS said it has started selling CBD creams, sprays, and lotions in eight states: Alabama, California, Colorado, Illinois, Indiana, Kentucky, Maryland and Tennessee. The topical products will be marketed as an alternative source to pain relief.
“We’re going to walk slowly, but this is something we think our customers will be looking for,” CVS Health CEO Larry Merlo said in a CNBC interview with Jim Cramer. He added that the Company has heard stories from individual customers that CBD products have helped with arthritis pain and other ailments.
According to Bloomberg, Curaleaf Chief Executive Officer, Joseph Lusardi said on Wednesday the Company has a number of partnerships in the works with national retailers.
CLS Holdings USA, Inc. (OTCQB: CLSH) (CSE: CLSH) has positioned itself as a key player as cannabis derived products become increasingly welcomed. The Company has expanded its business from Nevada to Massachusetts though partnerships and strategic acquisitions. CLS on Wednesday announced an agreement to acquire an 80% ownership interest in CannAssist LLC. This deal is the most recent step CLS has taken towards becoming a top dog in the Massachusetts market.
CannAssist is an Ontario-based producer of medical use cannabis. The Company plans to build a facility that upon completion will have 86,000 square feet of cultivation space making it one of the top three facilities in state. CLS is expected to bring in total revenues of over USD 100 Million once the space is fully operational.
Massachusetts remains the Company’s ideal market for expansion with just 50 dispensaries currently serve the state’s 6.9 million residents. Promising market dynamics have been created in the state among growing trust in the cannabis industry.