One major cannabis company has revealed a surprise partnership with the UFC.
Aurora Cannabis (NYSE: ACB) announced Tuesday that they were partnering with the world’s top mixed martial arts organization in a multi-year, multi-million dollar partnership to help further clinical research on hemp-derived CBD products and how they can help athletes.
Specifically, the research will be focused on how cannabis products help with recovery, pain management, and stress reduction for athletic performance.
Aurora already is one of the world leaders in seizing international expansion opportunities, so it’s not surprising that Aurora was chosen to have an agreement with the UFC as opposed to some of their rivals, such as Canopy Growth Corp (TSE: WEED)(NYSE: CGC).
“Since the day we opened the Performance Institute, our primary goal was to offer UFC athletes the best possible training, nutrition, and recovery services. This partnership with Aurora is an extension of that goal, and we’re looking forward to collaborating with Aurora to find new ways to improve the health and safety of athletes who compete in UFC,” said UFC President Dana White. “This global partnership places focus squarely on the health and well-being of UFC’s talented and highly trained athletes. The Aurora-UFC research partnership creates a global platform to launch targeted educational and awareness campaigns, while creating numerous opportunities to accelerate our global CBD business,” added Aurora CEO Terry Booth.
The research will be conducted at the UFC’s Performance Institute located in Las Vegas, Nevada, and will be done alongside the UFC’s sports performance team as well as specific athletes.
CBD’s health benefits, while not entirely confirmed by the mainstream medical community, is widely believed to be very effective in treating pain and chronic inflammation.
Although the FDA has approved the use of a CBD-drug last year called Epidiolex, used in treating severe childhood epilepsy, CBD-edibles or beverages are still not permitted until a regulatory framework is established.
While cosmetics and topicals seem to be allowed for now, the regulator has gone after companies that have made claims regarding CBD’s ability to treat serious illnesses.
Just last month, the FDA charged three CBD companies for making “unsubstantiated health claims” about CBD products. At the same time, the World Health Organization (WHO) has gone on to recognize that CBD does have health benefits worth researching.
Shares of Aurora Cannabis didn’t increase as much as one would have expected for such a significant announcement. The stock jumped up around 1.5 percent on Tuesday’s trading session, while inching up a further half a percent in after hours trading on the NYSE.
Aurora Cannabis Company profile
Aurora Cannabis Inc is a Canada-based company engaged in the production and distribution of medical cannabis.
The Company is vertically integrated and horizontally diversified across every key segment of the value chain from facility engineering and design to cannabis breeding and genetics research, cannabis, and hemp production, derivatives, home cultivation, wholesale and retail distribution.
The Company’s purpose-built facilities which integrate technologies across all processes are defined by automation and customization. The Company has a funded capacity of more than 625,000 kilograms per year as well as sales and operations in 24 countries worldwide. – Warrior Trading News
