ILLINOIS: Cresco Labs, one of the largest vertically integrated multi-state cannabis operators in the nation, today announced the formation of a new wellness subsidiary, Well Beings, that will provide the Company the ability to expand its house of branded products to all 50 states to potentially reach a new customer base outside of the licensed dispensary channel. Well Beings, led by Cresco’s Chief Experience Officer, MINIMAL principal, and former Nike Global Creative Director Scott Wilson, will offer a full line of high-quality hemp-based CBD wellness products eligible for national distribution. The subsidiary will have its own unique product line and produce CBD versions of Cresco Labs’ house of branded products including Cresco, Remedi and Mindy’s Edibles.
“Entering the CBD industry is an obvious next step for Cresco Labs so it can continue to build consumer trust in the quality and consistency of our portfolio of brands across all fifty states and to reach new customers both through and outside of the licensed dispensary channel,” said Cresco’s CEO and co-founder Charlie Bachtell. “As the US cannabis market is projected to expand from $10 billion to $75 billion by 2030, hemp-derived products, including CBD, offer all consumers an opportunity to access the natural therapeutic benefits of cannabinoid-based products. Our wellness-focused offerings, which will include Well Beings, Cresco, Remedi and Mindy’s, can be distributed nationwide for retailers, grocers, nutrition stores, and online marketplaces, further raising the awareness of cannabinoid-based products and their beneficial properties.”
“We believe that the role of national brands is to help consumers and patients make choices that are right for them. Cresco’s mission is to normalize and professionalize the cannabis industry. By building brands that help de-stigmatize, educate and build trust, we can help new and existing consumers explore the many benefits of cannabis and cannabinoid-based products.”
Following the recent passing of the 2018 Farm Bill legalizing CBD, the hemp CBD market is estimated to reach $3 billion by 2020, according to Brightfield Group, and may possibly eclipse the cannabis market over time. Well Beings builds on Cresco’s strong history of product quality and consistency to offer consumers trustworthy, high quality CBD-based wellness products that will be available in ingestibles, topicals and patches, balms, lotions and tinctures.
Combining the cannabinoid products expertise of Cresco Labs with the design and consumer expertise from Wilson’s MINIMAL, a globally recognized design firm, this new subsidiary will create a launching pad for new brands and support expansion of Cresco’s leading cannabis brands into the CBD space. Well Beings will serve an important new customer category that can experience hemp-based products in a normalized and de-stigmatized manner. Cresco Labs will be making a non-material investment in this new subsidiary.
“The purpose of this new business line is to demystify and build trust in CBD products, guiding consumers to understand the benefits of hemp and how to incorporate CBD-based wellness products into their daily lives,” said Wilson, who is spearheading the endeavor. “The cross-channel, consumer-centric opportunity for Cresco to build brand equity is transformative in the cannabis industry.”