NEW YORK, May 11, 2020 /PRNewswire/ -- There has been a significant growth in demand for cannabidiol (CBD) products across the globe in recent years, particularly in developed countries such as the U.S., France, Canada and the Netherlands. As a result, various cannabidiol product manufacturing companies have partnered with big retail stores to better supply their consumers. For example, earlier last year, CNBC reported that Walgreens planned to sell CBD creams, patches and sprays in nearly 1,500 stores in select states. The product segment of the CBD market is classified into oils, tinctures, suppository, transdermal patches, isolates, tablets, capsules, vape oils, creams & roll-ons and others. Overall, the CBD capsules segment is expected to grow with a CAGR of 53.4% during 2020 to 2026. This is mostly due to the several applications and easy methods of consumption. Now, the global market valuation for cannabidiol is expected to cross USD 89 Billion by 2026, according to Global Market Insights, Inc. World High Life Plc (OTC: WRHLF), Charlotte's Web Holdings, Inc. (OTC: CWBHF) (TSX: CWEB), Green Thumb Industries Inc. (OTC: GTBIF) (CSE: GTII), Neptune Wellness Solutions Inc. (NASDAQ: NEPT) (TSX: NEPT), Amyris, Inc. (NASDAQ: AMRS)
By source, the CBD market is segmented into marijuana and hemp. Currently, the hemp segment is anticipated to grow at a higher CAGR of 53.1% throughout the forecast period. Hemp contains trace amounts of THC, whereas CBD is present in large amounts, thus CBD-based products are being used as a possible therapeutic vessel for several health conditions. "We're witnessing CBD maturing from a cannabis sub-category into a full-blown industry of its own," said Roy Bingham, Co-Founder and CEO of BDS Analytics. "Our growth forecast for the CBD market, across all distribution channels, predicts a compound annual growth rate of 49 percent by 2024. This is a great opportunity for all involved, but it means the road ahead will include decisions that need to be informed by the best possible data."
World High Life Plc (OTCQB: WRHLF), the AQSE and OTCQB listed investment company, announced last week breaking news that it is, "pleased to provide an update on the progress of its wholly owned subsidiary, Love Hemp, during the global Covid-19 pandemic.
Love Hemp is passionate about creating the UK's leading range of trusted CBD products, with new product development at the heart of the brand. Love Hemp was the first company to produce functional spring water in the UK infused with CBD. Oils, sprays, vapes, chocolate, jelly domes and beauty products including its innovative CBD infused face mask and body salves have all followed. In response to current challenges, Love Hemp has shifted its focus, building on the opportunity to achieve stronger online sales, achieving a 39% increase month-on-month since January 2020, whilst expanding its offerings to meet consumer demand.
- The Love Hemp brand (www.love-hemp.com) has increased online sales by 39% month over month since January 2020
- The brand has secured a number of notable listings with leading retailers including Boots, to complement its existing listings with Ocado, Holland and Barrett and Sainsbury's
- According to Alliance Healthcare, the UK's leading distributor to Pharmacies and Independent Retailers, the Love Hemp brand is now its best-selling CBD brand
- The brand is in negotiations with some of the UKs' largest retailers for multiple new product listings from September 2020
- To support growing demand and sales, Love Hemp's secondary online retailer, CBDOilsUK (www.cbdoilsuk.com), is expanding its product portfolio with three new brands and a renewed web presence in the near future
- LH Botanicals (www.lhbotanicals.com), Love Hemp's CBD wholesale production business, is adding production capacity and new product lines with the acquisition of new machines
Having secured a number of notable listings with leading retailers including Boots, Ocado, Holland and Barrett and Sainsbury's, as well as being recognized on the list of Best CBD Oil Brands in the UK by the Evening Standard in August 2019, Love Hemp also won the best CBD Brand in The Beauty Shortlist Awards 2020.
New product development is at the heart of the business, with Love Hemp Immune launching in April 2020, more than six-months ahead of schedule, highlighting the brand's ability to be flexible and agile, whilst responding to consumer needs amidst the current circumstances. There is also a range of new products in development ranging from confectionary to drinks, oils and sprays. Brand renewal work carried out by external marketing partners, Propaganda, will be live in retail stores and online from October 2020.
Additionally, the company's online retailer, CBDOilsUK, is expanding its product portfolio with the launch of three brands within the next two months, whilst its wholesale production unit, LH Botanicals, is committed to fully supporting customers through this challenging time and has increased production capacity with the acquisition of new capsule and bath bomb production machines.
Tony Calamita, CEO at Love Hemp commented: 'There's no question that the challenges businesses across the world are facing currently are unique. Whilst bricks and mortar stores have either closed or experienced less foot traffic and reduced hours, it has highlighted the need for us to have a robust online presence in order to keep people engaged with our brands and products. We have expanded our online offerings and are committed to continuing to provide the best experience for our customers, so they are able to continue to purchase and engage with us in an efficient way, with minimal disruption. Fortunately, consumer demand for our products is growing and we have adapted, thanks to a great team effort, to be able to grow the business under new circumstances, expanding our e-commerce presence and education marketing, which will be the foundations of our model going forward.'
For our latest "Buzz on the Street" Show featuring World High Life Plc. recent corporate news, please head over to: https://www.youtube.com/watch?v=0hk5omSP1lE
Amyris, Inc. (NASDAQ: AMRS), a global science and technology leader of pure, sustainable
ingredients for the Health & Wellness, Clean Beauty and Flavors & Fragrances markets, just presented clinical data showcasing the superiority of its natural sugarcane squalane (marketed and sold as Neossance Squalane) as a carrier of CBD versus other oils. In order for CBD to be effective in topical applications, skin penetration is a key factor. Amyris sugarcane squalene improves the efficacy of CBD by 10-40X as the carrier oil chassis for the skin care market based on new data. Amyris is developing CBD through fermentation technology and believes it will be the first company to provide highly pure and efficacious CBD from this technology at commercial scale. The ability to provide both high quality CBD and the best performing carrier chassis will provide consumers with greater choice and product effectiveness. The company has filed a patent application covering the use of squalane to deliver cannabinoids, including CBD, to the skin to protect its distinctive advantage.
Charlotte's Web Holdings, Inc. (OTCQX: CWBHF) (TSX: CWEB) and Abacus Health Products, Inc. announced earlier in March that they have entered into a definitive arrangement agreement pursuant to which Charlotte's Web proposes to acquire all of the issued and outstanding subordinate voting shares of Abacus, after conversion of all outstanding proportionate voting shares of Abacus into Abacus Shares. This acquisition combines Charlotte's Web, the market leader in hemp-derived CBD wellness products, with Abacus, the market leader in OTC topical products combining active pharmaceutical ingredients with hemp extract, to create the world's largest vertically integrated hemp-derived CBD company. For Charlotte's Web the combination benefits from the current U.S. regulatory environment which favors topical- CBD products within the food/drug/mass ("F/D/M") channel.
Green Thumb Industries Inc. (OTCQX: GTBIF) (CSE: GTII) cannabis consumer packaged goods company and owner of Rise™ and Essence retail stores, announced recently that it is opening its 43rd location, Rise Lakewood, on April 13th. This is the fifth Rise™ store in Ohio and the second Rise™ location in Lakewood. "As a designated essential business during the ongoing COVID-19 crisis, we are honored to provide cannabis to more members of the community with a second location in Lakewood," said GTI Founder and Chief Executive Officer Ben Kovler. "We are grateful to be able to promote well-being through the power of cannabis, especially during these stressful and uncertain times."
Neptune Wellness Solutions Inc. (NASDAQ: NEPT) (TSX: NEPT) specializes in the extraction, purification and formulation of health and wellness products. The Company has in excess of 100 customers across several verticals including legal cannabis and hemp, nutraceutical and consumer packaged goods. Late last year the Company announced that it had entered into a collaboration agreement with International Flavors & Fragrances Inc. (IFF) to co-develop hemp-derived CBD products for the mass retail and health & wellness markets. App Connect Service, Inc. is also a party to the agreement to provide related branding strategies and promotional activities. "We are pleased to enter this strategic partnership and drive innovation that satisfies customers' demands for quality, sustainability and traceability," said Nicolas Mirzayantz, Divisional CEO, Scent at IFF. "The hemp-derived CBD products we are developing will target consumer preference towards natural health & wellness products."
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