The Coca-Cola Company says that it's "closely watching" the growth of the use of a non-psychoactive element of cannabis in wellness drinks.
Coke and Aurora, in separate statements, each said they were interested in cannabidiol-infused beverages but would not comment on any specifics or talks. The space is evolving quickly.
A Coke spokesman said the beverage giant has made no such decision.
Aurora trading was halted in the morning after the stock rose 14 per cent to $10.40 on top of a spike Monday after reports it was in talks with Coca-Cola. Tilray jumped 6.8 percent, adding to its 40 percent gain last week; Cronos rose 3.1 percent and Canopy's USA shares climbed 2.9 percent.
Two weeks later, spirits company Constellation Brands announced a new $4 billion in investment in Canada's Canopy Growth in exchange for a 38% stake in Canopy.
In Canada, a company known as Molson Coors Brewing Co. partnered with a cannabis maker- Quebec's Hexo's Corp.to manufacture cannabis drinks.
Unlike other deals between alcohol makers and cannabis producers aimed at making drinks that will give consumers a "buzz" similar to inhaling marijuana, Coca-Cola and Aurora would likely develop beverages that will ease inflammation, pain and cramping.
Cannabidiol is a chemical in marijuana that does not have the intoxicating effects of THC, the major active ingredient that causes the "high".
"People have to learn to run their businesses", Canopy Chairman and Co-CEO Bruce Linton said, when asked about a potential Coca-Cola and Aurora deal, in an interview with BNN Bloomberg's Andrew Bell.
While marijuana remains illegal at the national level in the USA, there is growing acceptance of the use of CBD derived from marijuana to treat illnesses ranging from chronic pain to anxiety and epilepsy.