Cannabis drink maker offloads Althea brand to Tasmanian Botanics

THC beverages manufacturer Althea Group Holdings (AGH) has sold off its Althea Company pharmaceutical subsidiary to medicinal cannabis producer Tasmanian Botanics to focus on US expansion.

The $1 million divestment follows a strategic review of the company and sees the entire brand sold off, however, AGH will retain the inventory, plant, equipment, and contracts of the business.

Tasmanian Botanics will receive the Althea trademarks, branding, and data of the pharmaceutical division.

AGH said the sale aligns with its long-term growth strategy and manufacturing in the US.

“The medical cannabis landscape in Australia has shifted in recent years, and this transaction represents a strategic response to those changes,” AGH CEO Joshua Fegan said.

“For AGH, this marks a pivotal moment as we turn our full attention to North America, where we are positioned to lead the growing legal THC beverage market.”

Tasmanian Botanics CEO Dan Howard said the brand has a strong trust base with healthcare professionals and patients, and the company can vertically integrate the brand in its existing operations.