FROM AN EQUITY.
GURU ARTICLE TODAY.
.but if booze is in play (and it’s more than likely that Constellation’s competitors will be looking to at least keep up with their neighbours), it might be worth taking a side bet on the only weed-to-booze play I’m aware of in Tinley Beverages (TNY.C).
Tinley put out news in the last few days that, if we’re honest, buried the update that they’d delayed the launch of their canna-cocktail products because they were still playing with terpenes in a release titled, “Tinley Expands Retail Presence and Provides Operational Update.”
The company had previously elected to delay production of its cannabis beverages to incorporate certain terpene technology that enables users to enjoy an uplifting, Sativa-like effect. This unique approach overcomes a challenge that is often faced by cannabis edibles, which typically deliver a more neutral, Indica-style effect. The revised formulations now enable Tinley’s consumers to enjoy an experience that more closely resembles the social and psychoactive effects of alcoholic beverages. This more directly supports the consumer value proposition of the Tinley ’27 alcohol-inspired product line. The technology has been incorporated into Tinley’s latest formulations, and the company remains confident that it will go into production in the coming weeks, such that its cannabis beverages will be in full circulation well in advance of California’s adult-use legalization on Jan. 1, 2018.
Make no mistake about it – this delay is a good thing. What Tinley has always done is take a deliberate and slow approach, with a view to being ready when Big Booze came a-calling. They didn’t ‘Kushtown USA’ things and just cram as many SKUs as possible into every corner of California’s dispensary rush. They didn’t crank out shitty product for a quick market activity burst and have to deal with returns and disappointed consumers. They didn’t rush to market products that would make a one-off media splash followed by consumer meh. They didn’t fill the room with guys in weed t-shirts who would can grow the chron but struggle to figure out what a logistics network is.
They were on the end of a long barrage of cynicism from people who said they’d never get a product out (they did) or sign a contract with a mainstream grocer chain (they did) or make a product that would taste good (they did) or bring aboard people with real world retail network-building experience (they did) or get their stock above ten cents (they did).
Those who bought in back when we first start talking about the thing (at $0.06 in September 2016), if they’re still holding, are loving their four-bagger, especially today, with the dam having now been opened on big player investment in the alcohol space.
To be sure, nobody is making a big money investment of a game-changing size in Tinley tomorrow. but when they launch their ‘alcohol that gets you stoned instead of hungover’ products in January, when they’ll be 100% legal in California (if still not federally – sigh), then it’s a case of who will come in hardest and first to snap up the first mover.
