CVS has just announced that it will start selling CBD-infused “creams, sprays, roll-ons, lotions and salves.” The will start selling it in 8 states: Alabama, California, Colorado, Illinois, Indiana, Kentucky, Maryland, and Tennessee. These CBD products will contain less than 0.3% THC, the psychoactive compound that creates the “high” feeling, which means it’s extremely hard to get high from these products, if at all. Customers of CVS can benefit from the non-psychoactive component of the cannabis plant, CBD, which has shown to have several medicinal benefits!
This is an exciting partnership because no other CBD manufacturer has been able to land a retail chain as big as CVS. Could this lead to us seeing CBD products in chains like Walmart and Walgreens? We sure hope so, but the chains we have talked to haven’t even been preparing for CBD, so props to CVS for being ahead of the game.
However, CVS said that they were going to “slowly” get into the business of CBD products. Since hemp-derived CBD is now legal federally through the 2018 Farm Bill signed by President Donald Trump, retailers are more likely to start slowing offering CBD to their customers. Just because CBD is now legal federally though, the FDA has not approved CBD’s use in food or beverages.
Both Curaleaf and CVS stock prices jumped at the exciting news, 78% and 2.2% respectively. Curaleaf now has a market cap of more than $3.1 billion.
So what’s next for Curaleaf, the brand that landed this very exciting partnership? Well, the CEO said that it has been talking to several other national retail chains for many months now, so hopefully, we’ll see more CBD products on retail shelves sooner than later!