RE:RE:RE:RE:BevCanna Announces Exclusive Joint Venture and ManufacturingI think this makes perfect sense.
You see companies such as 48 North doing it with brands like Avitas and Apothecanna, Canopy with DNA Genetics, Supreme with Khalifa Kush.
These guys are branding and marketing experts, they realize the value of a Brand like Bloom who's products are sold in over three hundred retailers in four States: California, Nevada, New Mexico, and Washington; and available in leading retailers such as MedMen, Planet 13, Cookies, and Connected.
I think they see the value chain, and the reality is, Brightfield Group now projects Canada's cannabis industry to total $3.7 billion by the end of 2020, more than double the $1.6 billion in 2019, and sales of "derivatives" -- including beverages, vapes -- are expected to account for $900 million of sales next year alone.
BevCanna now has expanded their market exposure by having both beverage and vape, by leveraging the barrier to entry there is to being an LP (soon to be) and being able to sell products into the provincial distrubution boards.
they realize the brand equity an already popular and succesful brand like Bloom to help gain market share and accelerate revenues, holds.
They used the same logic when they signed a definitive agreement with clearwater canngrow to cultivate 130 acres of organic outdoor cannabis at their facility in osoyoos-- huge margin to be made on low cost production with an operation of that scale. BevCanna had the land, clearwater canngrow has the growing expertise at large scale= leveraging assets to create shareholder value.
another great example is their exclusive partnership with Nextleaf for water soluble cannabis distillate. Nextleaf will manufacture the Bloom vapes for them through their partnership- as Nextleaf is a competitor to Valens and Medipharm- and vapes is one of the many purposes they process oil for, along with beverage.
They realize their core competeny is beverage manufactruing and branding, and thats why they partner with companies like Bloom, Clearwater, and Nextleaf. For the value in their specific fields, which bevcanna is leveraging.