Canada-based Canopy Growth (NASDAQ:CGC) is expanding its brand footprint in the U.S. The cannabis company announced Monday that it's rolling out the first line of topical products within its First & Free cannabidiol (CBD) brand.
Its three new creams -- Everyday, Motion, and Revitalize -- are each packed with 2,500 milligrams of CBD per 1.76-ounce tube. Canopy Growth (citing information from Brightfield Research Group) says that makes them the highest strength CBD topical creams sold in the U.S., with over five times the concentration of competing topicals.
First & Free is the marijuana company's U.S.-exclusive CBD product line. It was launched in December, nearly one year after the 2018 Farm Bill legalized products made from hemp and CBD, a non-psychoactive compound found within the plant that is purported to have medicinal properties. Following legalization, a market quickly sprang up throughout the country for CBD products.
"With our new line of topical creams, First & Free is building a portfolio to treat the everyday stressors that affect both body and mind," Canopy Growth said in a press release. The creams are available online with two-day shipping. Each retails for $39.99 per tube.
Although CBD product manufacturers routinely tout the health benefits of their wares, regulators have a less enthusiastic view. Last year, the Food and Drug Administration issued a consumer update on the substance in which it noted that "there is very limited available information about CBD, including about its effects on the body."
Canopy Growth stock was trading up by 0.5% in mid-afternoon trading on Monday, while the broader equities market as measured by the S&P 500 was down by about 1.2%.