Potentially the most high-profile of all the vape extract companies will be Cronos Group (NASDAQ:CRON), which closed a major equity investment from tobacco giant Altria (NYSE:MO) in mid-March. Cronos Group plans to focus most of its production on derivative products, and it would only be logical if Altria, the company that sunk $1.8 billion into Cronos for a 45% stake, aided with that development process.
As a reminder, Altria made a substantial $12.8 billion investment in vaping device maker Juul in December, which is good enough for a 35% stake. This investment came just weeks after announcing its stake in Cronos Group. With access to the most popular vaping device (at least in the U.S.) through its equity partner, Cronos Group may have an outlet for success in Canada, as well as in the United States, if the federal government ever changes its tune on marijuana.
The other must-know extract provider in the vape space is The Supreme Cannabis Company (NASDAQOTH:SPRWF). That’s right, not Aurora Cannabis or some other much larger producer, but modestly sized Supreme Cannabis Company.
With perhaps 50,000 kilos of production a year from its flagship 7Acres campus, this is an easy company to overlook. However, the company’s cannabis quality cannot be underestimated. There are only a small percentage of growers focused on the ultra-premium and premium-quality dried cannabis and extract market, and Supreme Cannabis is one of those companies. Having recently partnered with PAX Labs to supply extracts for the PAX Era pen-and-pod vape system, Supreme is in the perfect position to reach a more affluent vaping clientele.