BAT and Organigram Partner on Cannabis

Photo: Tobacco Reporter archive

The BAT Group (BAT) has signed a strategic collaboration agreement with Organigram, a wholly owned subsidiary of publicly traded Organigram Holdings, focused on research and product development activities of next-generation adult cannabis products with an initial focus on cannabidiol (CBD).

This agreement augments ongoing BAT activities to expand its portfolio “beyond nicotine” and follows the pilot launch of Vuse CBD Zone in Manchester, U.K., earlier this year.

Through the collaboration, BAT will gain access to cutting-edge R&D technologies, product innovation and cannabis expertise, complementing BAT’s extensive plant-based expertise and development capabilities.

Organigram has a proven track record of consumer-led innovation and developing high-quality adult-use recreational and medical cannabis products, which are legally available in Canada.

We believe this collaboration has significant potential to enhance our activities.


David O’Reilly, director of scientific research, BAT

“Today’s announcement underscores our commitment to accelerating our transformation and building ‘A Better Tomorrow,’” said David O’Reilly, director of scientific research at BAT, in a statement. “Our multi-category, consumer-centric approach, which is key to our transformation, aims to provide choice and meet the evolving needs of adult consumers. This choice provides reduced-risk alternatives to combustible cigarettes as well as going beyond tobacco and nicotine into new and exciting areas of product innovation.

“We believe this collaboration has significant potential to enhance our activities, allowing us to combine our world-class expertise while enabling scientists from both BAT and Organigram to work closely together and share information real-time. We know that in R&D, this is how you make real breakthroughs and accelerate progress.

“We have been impressed by the strong management team and culture at Organigram. This collaboration aligns with our long-term strategy and will enable us to work with Organigram at an R&D level as well as contributing to their wider operations.”

We have been extremely selective about aligning with a strategic partner.


Greg Engel, CEO, Organigram

“This is a tremendous milestone in the evolution of Organigram,” said Greg Engel, CEO of Organigram, in a statement. “It is instrumental in advancing our commitment to offering consumers innovative cannabis products and to furthering our long-term international strategy. We have been extremely selective about aligning with a strategic partner, and in BAT, we’ve found a leading consumer goods business with innovative product platforms, an impressive dedication to research and development, deep consumer insights, regulatory expertise and a commitment to responsible stewardship and consumer safety.”