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Lagunitas Opens the Flood Gates with Cannabis Infused Drink

On July 30, Heineken (EPA: HEIA), through its Lagunitas beer brand, launched the first mainstream cannabis-infused drink, Hi-Fi Hops.

The beverage replaces alcohol with 5mg each of CBD and THC or a stronger version with 10mg of THC, the same dosage found in many edible products.

Hi-Fi Hops sells for $8 a can at dispensaries in California, which is very expensive compared to edible products but on par with beer prices at a local pub or nightclub.

For Lagunitas and Heineken this is a very profitable product with a selling price per milligram of THC of $0.80, compared to $0.15 for regular edible products.

Source: Lagunitas

Is Cannabis-infused Sparkling Water any Good?

So what does it taste like?

Reviews described the taste as:

The sparkling water conjures a La Croix. Evanescent notes of cucumber and citrus play hide-and-seek in the bubbles. A pinch of stevia and a drop of olive oil smooth over any bitterness or biting mouthfeel. That classic nasty, astringent, cannabis-oil-distillate taste? Nowhere to be found.

The can also has some interesting innovations built into it such as the pop top that allows you to drink only a portion of the drink, close it up and take it on the go with you to finish later.

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Source: Erin Brodwin / Business Insider

More Like an Infused Drink than a Beer

Hi-Fi Hops is labeled as ‘hoppy sparkling water’ and it is more like an infused drink with THC and CBD oil mixed into the drink before bottling instead of the cannabis plant being used throughout the brewing process.

Canada Looking to Bring Real Cannabis Beer to Market

Infused drinks will soon open the floodgates to beer actually brewed with the cannabis. Brewers in Canada are already feverishly working to perfect the new brewing technique.

A startup in Canada, Province Brands, is trying to perfect a brewing process using the actual cannabis plant.

According to an article in The Guardian, the cannabis high from an infused drink hits you much faster than from edibles and the industry is working to size the dosing to be similar to the amount of alcohol in traditional beer.

Hi-Fi Hops is Opening the Infused Beverage Floodgates

For consumers looking to have the experience of drinking a beer, but are getting too old for the splitting headaches that follow the next morning, cannabis infused beer presents an excellent nightlife alternative.

Heineken may be the first, but with Molson Coors recently entering the cannabis drinks business it’s only a matter of time until your local dispensary is fully stocked with an assortment of infused drinks and true cannabis-brewed beer.

The opinions provided in this article are those of the author and do not constitute investment advice. Readers should assume that the author and/or employees of Grizzle hold positions in the company or companies mentioned in the article. For more information, please see our Content Disclaimer.

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Categories: Marijuana Analysis
Scott Willis: Scott has over 15 years of institutional investment management experience analyzing both debt and equity securities. He has held senior investment research roles at Credit Suisse, and TD Asset Management. His core areas of investment coverage at Grizzle include marijuana, energy and technology. Scott is a CFA charterholder and has been featured on Bloomberg, CBC, CNBC and Macleans.
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