Published June 6, 2023
Dive Brief:
- CBD skin care and lifestyle brand Lord Jones, owned by parent company Cronos Group, has announced its exit from the U.S. business and launch in Canada as an adult-use cannabis brand by the fourth quarter of 2023.
- Cronos Group plans to exit its existing U.S. CBD operations by the end of the second quarter to improve its cash flow in the near term and prepare for its direct entry into the U.S. THC market.
Dive Insight:
CBD brand Lord Jones is leaving the U.S. in pursuit of the growing cannabis market in Canada. Lord Jones will be relaunched as an adult-use cannabis brand in Canada by the fourth quarter of 2023.
Parent company Cronos Group’s decision to exit its existing U.S. CBD operations is an effort to improve its cash flow in the short term and position itself for direct entry into the U.S. THC market when the necessary regulatory changes occur.
Cronos Group entered an agreement to purchase Lord Jones’ parent company, Redwood, in 2019 for approximately $300 million. The company also launched CBD skin care brand Happy Dance with actress Kristen Bell in 2020, which discontinued its e-commerce site in January 2023, directing customers to sister brand Lord Jones for further purchases of CBD products.”
Lord Jones is currently running a 75% off sale for most products on its U.S. website until June 23.
As the cannabis market continues to grow worldwide, it is expected to become one of the most important markets in the world in the coming years. With the increasing demand for CBD and cannabis products, companies are expanding into different markets to meet the needs of their consumers.
For more information on the growing cannabis market and industry news, check out Cannabis Business Times.
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