Gopyneth Paltrow, CEO and Founder of Goop, is the youngest Hollywood star to invest in the cannabis industry. The actress-turned-wellness guru just announced that she is supporting Cann, a cannabis-infused beverage company.
Paltrow calls cannabis a "future hero ingredient" for wellness and says it was attracted to Cann's beverages infused with small doses of THC and CBD as an appealing alternative to alcohol.
"There's a whole sober movement going on and the cannabis-curious movement going on. This is, in a way, an intersection between these things," Paltrow said.
It's the first time Paltrow talks about a personal investment in the cannabis industry, although Cann isn't the first company in the field it supports. The financial terms of the cann deal were not disclosed.
With Cann's support, Paltrow appears to be following in the footsteps of Martha Stewart, who recently launched a range of CBD gums with Canopy Growth. Paltrow – with her 7.5 million Instagram followers and Goops 1.5 million Instagram followers and 2.5 million monthly podcast listeners – is giving a hefty name to the fledgling cannabis industry she believes is going mainstream.
"We are very clearly and definitely moving towards legalizing cannabis, and I think it should be," Paltrow said. "I'm actually not a very personal user of it, actually. But I think it has amazing medicinal properties and it is really helpful to a lot of people."
Cann produces beverages for adults with flavors like grapefruit-rosemary, lemon-lavender, and blood orange-cardamom. The tonics contain 2 milligrams of THC and 4 milligrams of CBD – parts of cannabis compounds that are considered microdoses. Cann founders, former Bain consultants Luke Anderson and Jake Bullock, said the point of smaller doses is to motivate consumers to consume multiple drinks without being incapacitated.
CBD is short for cannabidiol, which many say offers the calming benefits of marijuana without the high levels of THC or tetrahydrocannabinol.
Anderson hopes Paltrow's large fan base will help the company attract new customers who may be open to an alternative to alcoholic beverages. The company's latest fundraiser includes investments from singer Tove Lo and former NBA player Baron Davis.
"When people think of Gwyneth Paltrow, they don't think of 'weeds' – they think of innovative solutions to today's health and wellness needs," said Anderson. "Your approval is a sign that cann (and microdose beverages more broadly) are a viable response to this very common consumer pain point."
The U.S. infused beverages market is a rapidly growing industry, with revenue doubling in the last two years in the rule of law, from $ 4.2 million in September 2018 to $ 8.3 million last month, according to that Analytics company headset.
Canopy Growth, one of the world's largest cannabis companies, has a stake in BioSteel Sports Nutrition, a nutrition company popular with athletes. This month BioSteel signed an exclusive contract with two major beverage retailers. The partnership allows Canopy Growth to set up its infrastructure to enter the US infused beverage market when legal and regulatory headwinds are removed.
Cann's drinks are available from pharmacies and in California and Nevada. However, the company plans to use its recently raised funds along with the $ 5 million raised in January to expand to four more rule of law states over the next six months.
Ultimately, Paltrow believes that it is only a matter of time before a wider decriminalization of cannabis results in mainstream audiences accepting cannabis products like cannabis.
"It's going to be about how people brand it and connect with the customer and what the aesthetic is," Paltrow said.