The infused beverage expert is poised to commercialize operations and generate substantial revenue this year
BevCanna Enterprises Inc () (OTCMKTS:BVNNF), a manufacturer of cannabis-infused beverages, announced Tuesday that it has launched a set of strategic objectives that will guide the company through 2020 and beyond.
Headquartered in Vancouver, Canada, with operations near Osoyoos, in the Southern Okanagan region of British Columbia, and in Sacramento California, BevCanna is a white-label manufacturer of cannabis-infused beverages, vertically integrated from outdoor cultivation to finished cannabis products.
In a statement, John Campbell, chief strategy officer with BevCanna, described 2020 as the “year of execution” for the company.
READ: BevCanna doubles size of manufacturing facility, prepares for full-scale commercialization in 2020
"We've built a solid foundation across businesses and we are now ready to turn the corner to begin commercializing our operations and generating substantial revenue," said Campbell.
Campbell outlined the following strategic objectives:
Become largest organic outdoor cannabis cultivator
In order to grow into Canada’s largest outdoor cannabis cultivator, BevCanna has doubled the size of its outdoor cannabis cultivation site to 292 acres, from 130 acres in its prime location in British Columbia's fertile Okanagan Valley, which also includes a 40,000 square foot manufacturing facility in Osoyoos, as well as a spring water aquifer. The company said production costs were “roughly one-seventh the cost of indoor/greenhouse cannabis cultivation,” giving it “a sustainable competitive advantage.”
Production output is estimated at 400,000-500,000 pounds of biomass annually. Outdoor cannabis production offers “a broader, more intense, and deeply penetrating spectrum of light, which improves flavor profiles,” said the company.
Commence white-label beverage production by Q3
The company will manufacture beverages for other Canadian licensed producers. BevCanna's advanced bottling facility has been designed with maximum flexibility, to cover a wide array of bottle sizes, allowing the company to fully service white label client needs.
Commercialize house brands
The company said it will commercialize its house brands, Anarchist Mountain and Grüv Beverages, selling these product lines in Canadian licensed retailers by the fourth quarter.
Similarly, BevCanna will commercialize the Anarchist Mountain and Grüv drinks in Californian licensed retailers by the third quarter. Through co-packing and distribution arrangements currently in progress, the company plans to launch a product line in the Golden State that includes water-soluble powders and ready-to-drink beverages.
Finalize joint venture with Bloom
BevCanna will commercialize Bloom branded cannabis concentrates and extracts, selling the product lines in Canadian licensed retailers by the fourth quarter. The company plans to ink a definitive pact with Capna Intellectual to bring its multi-state cannabis vape brand, Bloom, to Canada. BevCanna will manufacture and sell Bloom branded products including cannabis concentrates and extracts in Canada. BevCanna will also acquire exclusive licensing and manufacturing rights to select Bloom product formats and technology.
Commercialize THC water-soluble powder technology
The company will commercialize its proprietary THC water-soluble powder technology under a house brand name to be revealed in March. A pilot launch will take place through dispensaries in Sacramento, California. The full commercial product launch across California is scheduled for the second quarter.
Introduce hemp-derived CBD powder
The company said its strategic goal was to introduce its hemp-derived CBD powder and ready-to-drink beverage lines into Europe, through local co-packing and distribution arrangements with and their subsidiary Sativida, the company's exclusive European joint venture partners.
According to Grand View Research, the global CBD market is expected to reach $23.6 billion over the next five years. Brightfield Group projects the European CBD market to grow by 400% over the next four years.
Contact the author Uttara Choudhury at [email protected]
Follow her on Twitter: @UttaraProactive
