An Early Leader in the Infused Beverage Industry
This BevCanna profile is part of a paid investor education campaign.*
Thanks to widespread legalization, today’s cannabis consumers are free to enjoy an ever-expanding variety of cannabis products. But one of the fastest-growing segments of the cannabis market — as well as the beverage industry — is cannabis-infused beverages. In 2019, the global cannabis beverages market stood at US$367.4 million, an upswing in popularity driven by portion-controlled doses, ease of administration, increasing availability and a desire for healthier alternatives to inhaling cannabis. By 2027, the market is expected to reach US$8.52 billion at a compound annual growth rate of 50.9 percent.
BevCanna Enterprises Inc (CSE:BEV, Q:BVNNF, FSE:7BC) is a diversified health & wellness beverage and natural products company focused on developing and manufacturing a range of plant-based and cannabinoid beverages and supplements for both in-house brands and white-label clients. The BevCanna team boasts decades of experience creating, manufacturing and distributing iconic brands that resonate with consumers on a global scale.
BevCanna’s distribution network features more than 3,000 points of retail distribution through the company’s market-leading TRACE brand, its Pure Therapy natural health and wellness e-commerce platform, its fully licensed Canadian cannabis manufacturing and distribution network and its partnership with #1 U.S. cannabis beverage company, Keef Brands.
The company commercializes infused beverage products for both in-house brands and white-labeled products. Members of the BevCanna team have offered their expertise through collaborations with leading brands such as PepsiCo., Colgate, Unilever, Arrowhead Springs, Clearly Canadian, and TRACE, which is the world’s first plant-based ancient mineral water beverage with natural product certification through Health Canada. BevCanna has a global multi-channel CPG distribution network including Canada, U.S., Europe, and Asia . The company offers a range of traditional and cannabis-infused beverages and nutraceuticals.
In February 2021, BevCanna received its Standard Processing License from Health Canada, granting full authority to begin production at its full service, high-capacity beverage manufacturing facility. BevCanna owns a 40,000 square foot facility in the Okanagan Valley is HACCP-certified, and fully licensed to manufacture both traditional and cannabis-infused beverages, and an onsite alkaline spring water aquifer where water is naturally filtered through sedimentary rock strata, resulting in pure, premium alkaline spring water bottled at source.
BevCanna is a diversified health and wellness company with a global multi-channel distribution network positioned for growth. The company leverages a network of industry partnerships, including a supply partnership with Nextleaf Solutions, a cannabis processing company with numerous patents for industrial-scale extraction and distillation processes that produce odorless, tasteless and water-soluble THC and CBD. As well as #1 U.S. cannabis emulsion company, Vertosa. BevCanna will infuse Vertosa emulsions into its Canadian cannabis beverages for in-house and white label clients, including Keef Brands. Vertosa’s emulsions are proven to accelerate onset time to an average of eight minutes, prolong shelf-life, increase bioavailability and improve the taste profile of the Company’s cannabis-infused products. Vertosa’s pre-suspended, water-compatible solutions are incredibly homogenous and stable products.
BevCanna is leveraging decades of industry experience, brand acquisitions, strategic partnerships and joint venture opportunities to solidify its position as an early leader in the emerging infused beverages industry.
BevCanna’s Company Highlights
- BevCanna is an early leader in the infused beverage industry, which is expected to reach US$8.52 billion by 2027 at a compound annual growth rate of 50.9 percent.
- The company completed a landmark acquisition of established beverage and nutraceuticals company Naturo Group, which boasts a significant asset base, plant-based beverages and nutraceuticals, significant sales and distribution in over 3,000 points of distribution, and ownership of an alkaline spring water source.
- The company leverages recent strategic acquisition of natural health and wellness e-commerce company, Pure Therapy, with a projected run rate of approximately C$7.68M in revenue and positive EBITDA in 2021.
- BevCanna has evolved into diversified health and wellness; beverage and natural products company with over $55 million in assets on the balance sheet, and a global multi-channel distribution network positioned for intense growth.
Strategic evolution into a diversified health & wellness beverage and natural products company
With the recent completion of the acquisition of Naturo Group, and receipt of its highly coveted Health Canada Standard Processing License, BevCanna is in the unique position of being one of the only fully licensed beverage manufacturing companies that produces and distributes both conventional and cannabinoid-based beverage and wellness products. We are creating a diversified health and wellness company, with $55M+ in assets and a global multi-channel sales and distribution network positioned for growth.
With receipt of its Health Canada Standard Processing License (SPL) to manufacture and sell cannabis beverages and products in the Canadian market, and recently announced Sales License partnership, the company is now focused on the following initiatives:
- BevCanna is fully authorized to commence commercial production of Keef beverages and its white-label products, with a focus on selling through licensed Canadian retailers across the country.
- In addition to its in-house and partner brands, BevCanna will be working with other B2B cannabis-license holders and non-licensed CPG customers seeking to enter the Canadian cannabis market as a white label manufacturer. The company has announced co-packing agreements with multiple white label clients, with a pipeline of additional clients from the initial scoping stage all the way to final contract negotiations.
BevCanna’s transformative acquisition of Naturo Group positions the company perfectly to expand into the growing health and wellness industry with full ownership of its 40,000 sq. ft. manufacturing facility, 315-acres of cultivable land, pristine on-site natural alkaline spring water aquifer, and leading plant-based wellness brand, TRACE. BevCanna’s key initiatives for Naturo Group include but are not limited to:
- Naturo Group offers a full-service white-label beverage manufacturing solution for CPG clients, featuring a variety of beverage product formats including PET, aluminum, and glass form factors, available in multiple sizes and custom shapes.
BevCanna’s recently acquired U.S. & international hemp & nutraceutical e-commerce platform sells a range of natural health products, including nutraceutical and hemp-based cannabidiol products throughout North America and Western Europe.
- The Pure Therapy acquisition has provided BevCanna with a proven e-commerce brand and platform to expand and launch its nutraceutical and cannabinoid-based products directly through an existing customer base and a powerful direct sales platform. Pure Therapy brings an extensive list of approximately 23,000 customers acquired since its inception.
- The direct-to-consumer e-commerce platform has generated extremely positive year to date revenues. The Company has continued to invest in strategic new product integration and customer acquisition, with a resulting projected run rate of approximately C$7.68M in revenue and positive EBITDA in 2021.
BevCanna’s exclusive partnership with award-winning Keef Brands positions it ideally for rapid growth within the U.S. market, in anticipation of positive federal regulatory reform with the U.S. federal cannabis legalization.
- Partnership with the #1 cannabis-infused beverage brand is mutually advantageous for the two companies. BevCanna is the exclusive manufacturing and distribution partner for Keef Brands in Canada, while also having access to Keef extensive U.S. manufacturing and distribution network to access the U.S. cannabis market (which includes more than 1,000 dispensaries and delivery services across Colorado, California, Arizona, Nevada, Michigan, Oklahoma, and Puerto Rico).
- Keef Brands currently offers eight of the ten top-selling cannabis beverages in Colorado as well as two of the ten top-selling in California1. Keef Brands ranks first in the U.S. both in units and dollars sold amongst all cannabis beverage companies2.
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TRACE – Canada, U.S., Japan and the Philippines
TRACE is a line of plant-based mineral beverage and nutraceuticals. TRACE is sold across the country through Canadian retailers, with select international agreements and partnerships under review. Along with their nationally distributed alkaline and sparkling waters, and plant-based mineral beverages and supplements, TRACE is expanding its product selection and is incorporating additional nutraceuticals, including cannabinoids, adaptogens, and nootropics, into its products to be sold in domestic and international markets.
BevCanna’s Strategic Partnerships
BevCanna is a leader in the emerging cannabis beverages market and is evolving into a diversified health and wellness company with several transformative acquisitions, strategic partnerships and joint-venture opportunities, that serve as growth catalysts in 2021 and beyond.
BevCanna has partnered with the award-winning Keef Brands, which currently offers six of the top ten best-selling cannabis beverages in Colorado, as well as three of the top ten best-sellers in California. John Campbell, BevCanna’s chief strategy officer, commented, “Keef’s robust US manufacturing and distribution network will be a significant asset to BevCanna‘s expansion plans in the US and BevCanna‘s expertise in the Canadian infused beverage market will build Keef’s Canadian presence. It’s a strong combination, with excellent potential for both companies.”
In February 2021, the company closed on its transformative acquisition of Naturo Group, an established beverage and CPG company worth over US$35 million. This will create a unique, fully licensed white-label beverage manufacturing and distribution company with a global multi-channel distribution network involving both traditional retail and cannabis sales channels. BevCanna will also own Naturo Group’s flagship brand, TRACE, which is sold in more than 3,000 Canadian retail locations and is expanding its product selection to include nutraceuticals.
Pure Therapy, a direct-to-consumer e-commerce company recently acquired by BevCanna. The Pure Therapy acquisition has provided BevCanna with a proven e-commerce platform to launch its hemp-based products directly into the global health and wellness market. Pure Therapy, which boasts a list of over 23,000 customers, will carry BevCanna’s and Naturo Group’s in-house products.
The company has entered into an exclusive sales agency distribution agreement with Yokohama-based Mirai Marketing Inc. to bring Naturo Group’s TRACE proprietary plant-based mineral consumer products to Mirai’s extensive Japanese and Philippine sales and distribution networks.
BevCanna’s Executive Expertise
The company’s unmatched expertise has been instrumental in its success. The BevCanna team offers unparalleled industry experience across all aspects of beverage development, branding, production and distribution. Members of the BevCanna team have worked with leading brands such as Mike’s Hard Lemonade, PepsiCo, SC Johnson, Vega and Trace Beverages, the world’s first plant-based functional water beverage with natural product certification through Health Canada.
BevCanna’s Management Team
Marcello Leone is the CEO and Founder of BevCanna (CSE:BEV). He is also the founder of Naturo Group and the TRACE brand.
John Campbell is the CFO and CSO of BevCanna. He has over 30 years of experience in the investment industry, including time with TriView Capital Ltd.
Keith Dolo is the company’s Executive Management Advisor. Having previously served as CEO and Executive Chairman of Sproutly Inc. Previous, he served for over 13 years with Robert Half (NYSE:RHI), an S&P 500, NYSE listed company, specifically in the role of Vice President for the last 8 years.
Melise Panetta is the company’s President. She is an accomplished senior marketing and sales executive with extensive experience with leading organizations such as SC Johnson, General Mills (NYSE:GIS) and PepsiCo. (NASDAQ:PEP) Ms. Panetta has nearly 15 years of deep marketing and sales expertise.
Raffael Kapusty is the company’s Vice President of Sales & Insights. She is an accomplished CPG industry leader with more than 25 years of experience in both the Canadian and U.S. retail spaces. With a solid foundation at ACNielsen Canada (NYSE:NLSN), Raffael has developed a deep understanding of the CPG space, working with over 100 leading Canadian & global CPG manufacturers. She has also held senior category and key account management roles at Kruger (NYSE:KR), SC Johnson and Unilever Canada (NYSE:UL).
Bill Niarchos is the company’s Vice President of Sales & Sales Operations. He has over 20 years of experience in the CPG goods industry/retail environment. In his most recent role as Director of Sales with Bayer Consumer Health, Bill managed the strategic direction and growth of Loblaw & SDM. Prior to his position with Bayer (ETR:BAYN), Bill held a number of progressive roles at Colgate Palmolive (NYSE:CL) for more than 14 years.
Japheth Noah is the company’s Head of Quality Assurance. He is an Oxford and MIT educated quality and regulatory manager with over 15 years’ experience in beverage, pharmaceutical, natural health, and medical industries.
Keith Stride is the company’s Creative Director. He has 25 years of experience in marketing and advertising, including time in a CMO role with Hemptown USA. Mr. Stride is internationally recognized for building high-profile brands, including Rogers (NYSE:RCI),TD Bank (NYSE:TD), Best Buy (NYSE:BBY), Whistler-Blackcomb and RBC (NYSE:RY).
*Disclaimer: This profile is sponsored by BevCanna Enterprises (CSE:BEV). This profile provides information which was sourced by the Investing News Network (INN) and approved by BevCanna Enterprises, in order to help investors learn more about the company. BevCanna Enterprises is a client of INN. The company’s campaign fees pay for INN to create and update this profile.
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The information contained here is for information purposes only and is not to be construed as an offer or solicitation for the sale or purchase of securities. Readers should conduct their own research for all information publicly available concerning the company. Prior to making any investment decision, it is recommended that readers consult directly with BevCanna Enterprises and seek advice from a qualified investment advisor.