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| | | Why "Mellow Marijuana" Has CEOs Quaking in Their Boots By Greg Miller, Director of Cannabis Investing Research, Money Morning At the National Institute for Cannabis Investors, we talk a lot about how the rapidly expanding legal cannabis market will disrupt many long-established industries.
It's already underway - like the Big Pharma player I mentioned the other day, where they're terrified of a simple hemp extract.
Tobacco companies know their traditional market is declining rapidly and they must find aggressive sources of growth.
We saw this play out when Altria Group Inc. announced its intent to invest $1.8 billion in Canadian cannabis company Cronos Group Inc. And that $1.8 billion was just a start. Altria stands prepared to toss in another $1.1 billion if everything goes as planned. (Given the excellent leadership at Cronos, it will.)
Elsewhere, alcoholic beverage companies Molson Coors Canada and giant Constellation Brands Inc. have also both committed to cannabis - the latter making a $4 billion commitment to cannabis cultivation behemoth Canopy Growth Corp. Sales growth for alcohol is way down, and these companies are all too cognizant of the fact that cannabis legalization threatens their sales even more.
And based on some brand-new data that my team at the Institute just reviewed, these industry players have even more reason to pour truckloads of cash into cannabis companies.
Here's what's causing the panic... Full Story
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