Cann Plans International Expansion After Funding Round
"Over three years ago, we were told that consumers didn't want cannabis in beverages and that they were, at best, a novelty, but this fundraise and our Canadian expansion indicate that microdosed beverages are here to stay," said Jake Bullock, co-founder and CEO of Cann, in the release.
Cannabis-infused beverage startup Cann has closed a $27 million Series A funding round from new institutional capital, existing investors like Imaginary Ventures and some new celebrity investors including actresses Nina Dobrev and Rosario Dawson.
Cann also introduced its products to Canada, marking the brand's first international expansion. The startup's beverages, which contain small amounts (a microdose) of THC, are positioned as better alternatives to alcohol. As of Feb. 16, consumers in Ontario can purchase Cann's THC social tonics, with British Columbia and additional provinces launching the brand in the coming months.
The funding and expansion comes on the heels of a successful year for the cannabis-infused beverage brand which expanded into three new U.S. states (Illinois, Massachusetts and Arizona) and saw sales nearly triple, according to a news release from Cann.
To produce its beverages, Cann is partnering with Truss Beverage Co., a joint venture between Molson Coors Canada and CPG cannabis company Hexo, and a leader in the development of cannabis beverages for the Canadian market.
As the movement to destigmatize medicinal and recreational cannabis continues to gain momentum as national acceptance widens and more states move toward legalization, Cann aims to be the "ideal cannabis entry point for mainstream consumers" and an alternative for alcohol.
A November 2021 survey of roughly 500 U.S. alcohol retailers from Uber-owned e-commerce and on-demand delivery platform Drizly found that over half of retailers said they believe cannabis- and CBD-infused beverages have the greatest growth potential in the industry. That is nearly double those who cited non-alcoholic products.
Cann's newest celebrity investors Nina Dobrev, Sara Foster, Paul Scheer and Adam Devine join current investors Gwyneth Paltrow, Baron Davis, Rebel Wilson, Kate Hudson, Rosario Dawson, Darren Criss, Casey Niestat, Tove Lo and Bre-Z.
