BAT has partnered with CBD firm Charlotte’s Web to develop a drug for an undisclosed neurological condition, reports Bloomberg. The partnership is part of BAT’s plan to diversify away from cigarettes.
A joint venture between BAT’s subsidiary AJNA BioSciences PBC and Charlotte’s Web, which BAT invested in last year, plans to seek approval from the U.S. Food and Drug Administration for a treatment made from hemp extract. AJNA invested $10 million in the deal. Charlotte’s Web and AJNA each own 40 percent of the entity while BAT controls the remaining stake, according to a statement.