CBD of Denver has announced the signing of a letter of intent to work with German CBD and cannabis specialist Home of CBD as a distribution partner for Mellow.
Home of CBD is a Berlin-based German cannabis retailer with seven stores and additional reach into 500 locations and plans to expand its network to 2,000 locations in 2023
Under the agreement, Home of CBD will provide warehousing and logistic services in Berlin, expanding CBDD’s reach into Germany. CBDD will source the best international hemp-based products to market across Germany in Home of CBD stores and with their partners.
Read more: Leaked report reveals draft German cannabis legalisation plans
CEO of CBD of Denver, Paul Gurney, commented: ”This partnership marks the beginning of what we hope will further an already strong relationship. The team behind the Home of CBD is one of the up and coming cannabis retailers in Germany.
“This arrangement gives us access to the largest cannabis market in Europe, and an easy go-to market option for US brands.
“We also like their growth plans in country as Germany continues to move closer to a fully legal adult-use market.
“This is part of our new multi-country strategy to form close partnerships with retailers and distributors with strong business fundamentals.
“The CBD industry is in a state of consolidation across Europe and this is the best time to align with the winners and cut the losers.”
Read more: How will Germany approach cannabis legalisation?
It is estimated the European CBD market is ~$2B in value with Germany, the largest country at $1B or 50% of the market.
Germany legalised medical cannabis in 2017, seeing steady growth in patient numbers since then. Earlier this year, Germany’s coalition government intends to make adult-use cannabis legal for adults, with a draft law has been promised by the end of the year.
A leaked report from 18 October shows that Germany has details of drafted legislation proposals, suggesting that the country is looking at making possession of up to 20 grammes of cannabis exempt from legal repercussions.
