Last week, Elixinol (OTC: ELLXF) snapped up a 25-percent stake in Altmeds, a company that makes CBD products for pets.
The deal was worth about $6 million. Not bad for a company that did $8.1 million in 2018, and has delivered 16 consecutive quarters of revenue growth.
Although some folks might dismiss the market for CBD-based pet products, it’s actually quite lucrative. According to New Frontier Data, the cannabis-based pet care market is expected to be worth $125 million by 2022. It’s actually one of the fastest-growing sectors in the CBD market, with this figure representing a five-year CAGR of 57 percent.
Of course, $125 million is merely an accounting error compared to the global market for cannabis, but one that, if approached correctly, could pay off quite well.
Certainly this is the case with Altmeds, and will likely be the case with other producers of