Shares of Organigram Holdings (NASDAQ:OGI) were flying on Thursday after the company said it was rolling out its "cannabis 2.0" products to its medical marijuana customers.
As of 3:27 p.m. EDT, Organigram's stock was up more than 12%.
Cannabis 2.0 is a term used to describe second-generation marijuana products such as edibles and beverages, as opposed to cannabis 1.0 products like dried flower.
Organigram said the rollout will include its Edison Cannabis Company ready-to-use vape pens and vaporizer pods, as well as its Edison Bytes chocolates.
"Organigram has a deep and long-standing commitment to our medical cannabis consumers," CEO Greg Engel said in a press release. "As more and more patients turn their attention to new forms of cannabis, we are proud to offer them access to an innovative and growing product portfolio."
Cannabis-infused products are regarded as a potential panacea for the ailing marijuana industry. They tend to be higher-margin items, and therefore are expected to help cannabis companies like Organigram improve their profitability.
Organigram is particularly well positioned to profit from the high demand for marijuana edibles, as its investments in automation technology should allow it to efficiently produce large amounts of cannabis-infused chocolate.
"We are continuously innovating, responding to the feedback from customers and building brands that we believe reflect their evolving needs and preferences," Engel said.