NBEV stock is gaining solid momentum this morning after New Age Beverages Corp (NASDAQ:NBEV) announced the expansion of its CBD products in the Hong Kong market.
Major International Expansion
New Age Beverages, which is based out of Colorado and Utah and operates in the organic and natural products, made a significant announcement today. New Age announced that it is now going to make a foray into the international market by taking its portfolio of CBD products to Hong Kong. This will be the company’s first significant expansion into the international market, and considering the fact that it is expanding into the Asian financial hub, it is indeed an important step for the company.
However, the launch in Hong Kong is only the first step. Once its product ‘NHANCED CBD’ is launched in Hong Kong, the company has aggressive plans to launch in as many as 58 countries during the course of the third and fourth quarters. If it is successful in its plans, then this could give New Age a strong foothold in the global CBD market.
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The expansion into Hong Kong is coming along pretty quickly, and the company will start exporting its CBD products to the autonomous territory from June 18. The process will be conducted under the company's Health Sciences Division, and the products being shipped to Hong Kong include CBD infused lotions, creams, and oils.
NBEV stock is up 2.88% and now trading at $4.72.
The Chief Medical and Chief Scientific Officer at its Health Sciences Division, Jerry Hease, said, “The Health Sciences Division at New Age is so proud to bring all these superior clinical products to consumers. We have years of study in cannabinoids, and one of the most extensive arrays of intellectual property in the beverage industry at New Age. Our launch of CBD leverages that depth of expertise to provide a highly efficacious CBD portfolio to consumers."
Many companies are currently trying to gain an international foothold with CBD products, so New Age Beverages’ plans of global expansion is definitely a significant development for the industry at large.
NBEV stock has gained 135% over the past year. However, the stock is still down 50% from its 52-week high of $9.99.
Featured image: DepositPhotos © Iakov
