Aphria (NASDAQ: APHA), through filings in the US, has taken steps to leverage its new purchase of Sweetwater Brewing via the distribution of hard seltzer.
The company has filed for trademark protection for hard seltzer products branded with Solei, Broken Coast, and RIFF, three of its top four selling adult-use cannabis brands in Canada.
Aphria acquired Sweetwater, a private concern, last month. The deal closure announcement was issued on November 30, and was quick to point out that Freddy Bensch would remain on the management team.
Merger in the Works
Also this week, Aphria announced a merger with Tilray to form the the largest cannabis CPG company in the world. Aphria CEO Irwin D. Simon will lead the new organization and serve as chairman of the board of directors. The new company will be listed on the NASDAQ under the Tilray symbol: TLRY.
Under the Solei, Broken Coast, and RIFF brands, Aphria so far has produced marijuana flower products, pre-rolls, oils, capsules, and vape.
Sweetwater Provides Strategic Inroads
The plan, as detailed in an investor presentation, is to introduce the brands via Sweetwater’s operations to build brand awareness in the US. The existing cannabis culture cultivated by Sweetwater serves as a launchpad to gain consumer awareness and brand equity prior to the predicted legalization of marijuana products.
“It’s amazing to think about how we are ready in the market in the U.S., with our combined hemp [and] beverage offerings,” Simon said, adding that the combined company expects to introduce its “cannabis lifestyle brands” in the U.S. ahead of legalization.
Simon said he plans to grow in the US “by leveraging Sweetwater’s innovation, knowledge, and expertise to introduce adult-use cannabis brands, via craft beers and other beverages.”
Tilray’s Joint Venture with Anheuser-Busch
Tilray brings to the table its capabilities in beverages. A previously announced joint venture (no pun intended) with Anheuser-Busch (NYSE: BUD) to form Fluent Beverages and produce CBD drinks. So far, that 2-year-old, $100 million, alliance released Everie, a CBD infused tea, and announced a sparkling beverage for the Canadian market. That JV was announced exactly on this date, 2018.
“We also hope to leverage opportunities through Tilray’s already well-established relationship with (A-B) InBev,” he said.
The company has so far declined comment on how the merger affects the JV with A-B.
- ThirstyFrog Sets Sail - September 7, 2022
- Tell Me Whey: Dairy Hard Seltzer Developed by Cornell Scientist - July 24, 2022
- Constellation Brands Expected to Announce Significant Quarterly Increase in Sales - September 27, 2021
