Karma Beverages Launches CBD Water - Next Evolution of Premium Infused Waters Portfolio

- Today, Karma Water announced the launch of Karma CBD Water. This is the first CBD beverage to launch under the Karma wellness and probiotic waters beverage portfolio and has been developed in partnership with Canopy Growth Corporation, a world-leading diversified cannabis and hemp company. Karma CBD Water is crafted with Canopy Growth's Broad Spectrum CBD distillate made from US Hemp Biomass and powered by Karma's patented Push Cap technology, which protects the active cannabinoid constituents until seconds before consumption to ensure optimal potency. The addition of Karma CBD Water combines the wellness benefits of CBD with Karma's leading Push Cap technology to create a first-of-its-kind product for consumers.

" Karma Water is a leader in wellness beverages and we see CBD as the next evolution of our premium infused waters portfolio," said CJ Rapp, Karma CEO. "We are thrilled to partner with Canopy Growth to deliver optimum wellness using best-in-class CBD paired with our industry-leading Push Cap technology to bring consumers an innovative new product offering in the CBD-infused beverage space."

"Beverages are continuing to fuel the growth in the CBD category as consumers seek out familiar, fast-acting product formats that fit seamlessly into their busy lives," said David Klein , CEO of Canopy Growth. "Through our strategic partnership with Constellation Brands and Karma, we are thrilled to provide our best-in-class CBD distillate and help add a groundbreaking new CBD wellness beverage to Karma's industry-leading product lineup."

Known for its patented Push Cap technology, which is designed to protect active ingredients and ensure maximum potency and optimal nutrition, Karma CBD Water is infused with 25mg of antioxidant-rich CBD distillate, plus 4 nourishing adaptogens and 7 essential vitamins to deliver a full entourage effect to support holistic health. Canopy Growth utilizes industry leading technology to distill the purest available CBD from hemp, ensuring a consistent consumer experience with the push of the cap.

Both Karma and Canopy Growth are strategic partners of Constellation Brands (CBI), and the market entrance of Karma CBD Water highlights the power of collaboration between emerging businesses with distinct consumer value propositions within the ecosystem in which the three brands operate. Karma's CBD Water lineup will be distributed through Constellation's beer distribution network, which has helped the company become one of the fastest growing and the third largest beer company by volume in the U.S. The collaboration between Karma and Canopy Growth to offer consumers a truly differentiated, high quality CBD Water beverage, combined with the support of an established and highly successful distribution network will benefit retailers and consumers across the U.S. market in this emerging growth segment.

The company's mantra is centered around offering a beverage that delivers on the promise of wellness.  Karma's President Jeff Platt explains. "Every bottle of Karma contains unprecedented levels of active ingredients, which are then made more effective by the patented Push Cap technology.  In contrast, all too often the active ingredients in premixed drinks deteriorate and underdeliver on their promise. "

Karma CBD Water will be available in five natural flavors: Cranberry Lime, Blueberry Yuzu, Blood Orange Papaya, Lavender Orange and Watermelon Dragonfruit.

Karma Water is naturally sweetened, vegan, non-GMO and free of preservatives, gluten and lactose, and are available in retail stores nationwide and online at www.drinkkarma.com .

About Karma Water :
Karma Culture LLC, based in Pittsford, N.Y. , is a manufacturer of Karma ® Water, a naturally enhanced, flavored water that uses patented Karma Push Cap Technology to store key active ingredients at optimal potency until seconds before consumption. Founded in 2011, the company's Karma ® Water provides unprecedented levels of vitamins, probiotics and antioxidants and is #1 for immune support. The brand includes three distinct product lines-Karma Wellness Water, Karma Probiotic Water and Karma CBD Water- each meticulously formulated to deliver distinct wellness benefits. Karma ® Water is distributed nationally in Walmart, Target, Wegmans & Amazon. For more information on Karma Water , visit www.drinkkarma.com .

About Canopy Growth Corporation
Canopy Growth (TSX:WEED,NASDAQ:CGC ) is a world-leading diversified cannabis and cannabinoid-based consumer product company, driven by a passion to improve lives, end prohibition, and strengthen communities by unleashing the full potential of cannabis. Leveraging consumer insights and innovation, we offer product varieties in high quality dried flower, oil, softgel capsule, infused beverage, edible, and topical formats, as well as vaporizer devices by Canopy Growth and industry-leader Storz & Bickel. Our global medical brand, Spectrum Therapeutics, sells a range of full-spectrum products using its colour-coded classification system and is a market leader in both Canada and Germany . Through our award-winning Tweed and Tokyo Smoke banners, we reach our adult-use consumers and have built a loyal following by focusing on top quality products and meaningful customer relationships. Canopy Growth has entered into the health and wellness consumer space in key markets including Canada , the United States , and Europe through BioSteel sports nutrition, and This Works skin and sleep solutions; and has introduced additional hemp-derived CBD products to the United States through our First & Free and Martha Stewart CBD brands. Canopy Growth has an established partnership with Fortune 500 alcohol leader Constellation Brands. For more information visit www.canopygrowth.com .

Contact:
Chloe Lauter
(206) 419-1518
chloe.lauter@civic-us.com

Cision View original content: https://www.prnewswire.com/news-releases/karma-beverages-launches-cbd-water---next-evolution-of-premium-infused-waters-portfolio-301391709.html

SOURCE Karma Culture, LLC

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A State-by-State Guide to Cannabis in Australia

Australia federally legalised medicinal cannabis in 2016, and Australia's cannabis market has seen major growth since then.

Medical cannabis approvals were up by 120 percent in the first half of 2023 compared to the same period in 2022. Statista forecasts that Australian cannabis revenue will reach AU$3.73 billion in 2024 and grow at an annual rate of 3.22 percent, culminating in market volume worth AU$4.53 billion by 2029.

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New Cannabis Consumption Trends, Regulatory Shifts Seen Driving Market in 2025

Understanding trends in the cannabis industry is paramount for investors eyeing a market with steady growth potential, but the landscape is complex as products and regulations continue to evolve.

Consumption habits are changing as edibles, vaping and THC beverages gain traction, especially among younger users, and cannabis companies are adapting their offerings to meet shifting demand.

Meanwhile, regulatory uncertainty, particularly surrounding the future of the US Farm Bill and state-level restrictions on hemp-derived cannabinoids, continues to challenge the market.

Despite these headwinds, production data and long-term growth forecasts suggest the cannabis industry remains on a promising — albeit turbulent — path. Read on for more on key trends to watch in 2025.

Consumption methods evolving post-legalization

Shifts in consumer behavior are reshaping markets across the board, and the cannabis industry is no exception.

While smoking remains the dominant method of cannabis consumption, a recent report from the Centers for Disease Control and Prevention highlights the growing popularity of edibles, vaping and dabbing.

The report notes that vaping and dabbing are particularly pronounced among younger adults.

A separate study published by the American Medical Association and funded in part by the Canadian Institutes of Health Research also points to how product preferences have changed among Canadian users since legalization in 2018.


The study indicates that while the use of flower, cannabis concentrates, oil, tinctures and topicals has decreased during that time, the use of vape cartridges, edibles and beverages has increased.

Edibles and beverages were legalized in Canada in late 2019, and Truss Beverage was one of the first players to introduce cannabis-infused drinks. Truss was a joint venture formed by Molson Coors Canada (TSX:TPX.A,TSX:TPX.B) and HEXO, a cannabis company that has since been acquired by Tilray Brands (TSX:TLRY,NASDAQ:TLRY).

In early 2020, Tilray launched a lineup of confectionery, wellness products and beverages through its subsidiary, High Park; Canopy Growth (TSX:WEED,NASDAQ:CGC) made a similar move. These companies gradually brought their products to the US as more states legalized cannabis for medical and/or recreational use.

Today, established cannabis brands typically offer edibles and beverages alongside their other products. Organigram Global (TSX:OGI,NASDAQ:OGI) is one of the newest US entrants, with its April acquisition of Collective Project providing immediate access to the US hemp-derived THC beverage market.

Growing awareness of health and wellness, potentially amplified by the pandemic-led adoption of health trackers, appears to be making an impact on the alcoholic beverage market.

A 2023 Gallup poll reveals a two decade decline in alcohol consumption, particularly among younger adults, suggesting a shift towards more health-conscious lifestyles within this demographic.

Craft beer production declined by 4 percent year-on-year in 2024, according to data collected by the Brewers Association. This marked the largest drop in the industry's history, excluding the pandemic. For small, independent craft breweries, 2024 marked the third consecutive year of declining production. A drop in the number of operating small breweries last year provides further evidence of this trend, with 501 closures in 2024 versus 434 openings.

Challenges in the alcohol market extend beyond the brewing industry, with the New York Times recently reporting the closure of a handful of nightclubs facing decreased alcohol sales alongside rising insurance and rent costs.

Meanwhile, cannabis lounges have been popping up across the US for the last several years. As of early 2025, several states had legalized or were in the process of implementing regulations for cannabis consumption lounges.

Hemp market growth despite regulatory uncertainty

The burgeoning hemp industry is another segment of the expanding cannabis market.

The legalization of industrial hemp — defined as cannabis with a THC concentration of 0.3 percent or less — through the 2018 Farm Bill led to initial investment and optimistic projections for CBD wellness products and various industrial applications. The sector’s rapid evolution also brought the rise of hemp-derived intoxicating cannabinoids, creating a market that presented both opportunities and complexities for participants.

However, after an initial boom, a lack of infrastructure and clearly defined regulations for CBD, as well as state-level variations and market oversupply, ultimately contributed to a quick retraction.

2024 was a pivotal year for the US hemp industry, as the hemp-related provisions of the 2018 Farm Bill — originally set to expire in September 2023, but extended to December 31, 2024 — created an urgent need to address critical issues like THC limits and the regulation of novel hemp-derived cannabinoids. A major point of contention was the proposed shift from defining hemp based on Delta-9 THC concentration (0.3 percent or less) to “total THC,” which includes THCA.

This change had the potential to significantly impact farmers and processors, as many hemp varieties that are compliant under the Delta-9 THC rule could exceed the 0.3 percent limit when THCA is included.

Various bills and amendments were proposed in 2024 as part of the Farm Bill discussions, each with different approaches to regulating hemp. Separate regulatory frameworks for industrial hemp and hemp grown for cannabinoids were suggested, and many states took their own action, leading to a patchwork of regulations and even outright bans.

Despite challenges, data from the US Department of Agriculture suggests signs of recovery.

The department's annual National Hemp Report from 2024 points to an 18 percent increase in industrial hemp production value between 2022 and 2023, with output growth seen in specific sectors like floral (18 percent), fiber (133 percent) and seed hemp (414 percent). The 2025 report from the Department of Agriculture indicates further expansion, with notable increases observed in both acreage (up 64 percent from 2023) and value (46 percent).

The 2024 Farm Bill ultimately did not pass, and right now the hemp industry is operating under a temporary extension of the 2018 Farm Bill under the American Relief Act of 2025, signed into law on December 21, 2024.

The 2018 Farm Bill is now set to expire on September 30, 2025.

While analysts for Markets and Markets project that the North American hemp industry will grow at a CAGR of 22.4 percent and ultimately reach a valuation of US$30.24 billion by 2029, the future of the industry will be heavily influenced by the outcome of the ongoing Farm Bill discussions.

US cannabis legalization remains stalled

Although there is clear demand for cannabis products, the now-defunct rescheduling process in the US is likely to continue casting a shadow of uncertainty over the industry's long-term trajectory.

Legal and procedural delays, including allegations of improper conduct and bias within the US Drug Enforcement Administration (DEA), led to hearing cancellations, and the new administration of US President Donald Trump has brought leadership changes to key agencies like the DEA and the Department of Justice.

Terry Cole, who Trump nominated to be DEA administrator on February 11, has a history of opposing cannabis legalization in the country. Similarly, Pam Bondi, Trump’s pick to lead the justice department, staunchly opposed a movement to legalize medical cannabis during her tenure as Florida’s attorney general.

While there have been bipartisan efforts in Congress to end federal cannabis prohibition and establish regulations for eventual legalization, the DEA’s actions and statements indicate a potential stall or reversal of progress.

In addition to that, new research is adding complexity to the debate.

A study published in the American Journal of Psychiatry this past March highlights an association between the use of high-potency cannabis strains and increased risks of psychosis, a factor that may not have been fully considered by the Department of Health and Human Services. As stronger cannabis strains become more widely available, a reassessment of their potential health risks may be required.

Investor takeaway

While the cannabis industry holds promise for growth and innovation, investors must remain acutely aware of the regulatory uncertainties and market volatility that will undoubtedly shape its trajectory in the years to come.

Don’t forget to follow us @INN_Cannabis for real-time news updates!

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

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The country's medical cannabis market has been steadily expanding in size and scope. A Penington Institute report shows that Australians spent approximately AU$400 million on medicinal cannabis in the first half of 2024, 72 percent higher than the AU$234 million they spent over the entirety of 2022.

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