This story was originally published on Food Dive. To receive daily news and insights, subscribe to our free daily Food Dive newsletter.

Recommended Reading

• How reclassifying marijuana could benefit beverages

Dive Brief:

• Tilray’s CEO and chairman Irwin D. Simon told investors the company is optimistic that there is “a greater likelihood” that the U.S. presidential election results in changes to how cannabis is regulated, as both major party candidates have expressed support for reclassifying the drug.

• Through its new Tilray Alternative Beverages unit, the company is launching four hemp-derived THC drinks across key markets in the U.S. this month.

• Cannabis beverage producers are upbeat about the prospect of political tides turning in the US in their favor following the election.

Dive Insight:

For the first time in the U.S., both major party candidates are indicating an openness to legalizing pot products.

In an appearance on sports podcast “All The Smoke” last month, Vice President Kamala Harris said she believes cannabis should be legalized. Last year, the Biden administration signaled interest in reclassifying cannabis to Schedule III, the same classification as drugs like ketamine.

Former president Donald Trump, in a statement on his Truth Social platform last month, said he supports a Florida amendment that would legalize recreational cannabis for adults over 21. This represented a break from many fellow Republicans who want to restrict the drug, including his former primary opponent, the state’s governor Ron DeSantis.

Tilray pointed to a 13% year-over-year increase in its net revenue in its most recent quarter as a sign the company is growing. TD Cowen analyst Robert Moskow said in a note the company’s financial performance is less rosy than depicted, as sales for its Canadian cannabis business fell over the summer.

But according to Moskow, Tilray is making progress in ramping up distribution of the beer brands it recently bought. Last year, the brand acquired 8 beer brands from Anheuser-Busch, including Shock Top, and in August it purchased four other craft beers from Molson Coors.

On its earnings call Thursday, Simon said Tilray has managed its finances better than other cannabis companies, paying down over $300 million in debt in its last quarter. When asked by an investor if the company is interested in forming a partnership with a distributor to help it scale its products in the U.S., the CEO left both options on the table.

“We’re ready to do it on our own in the U.S., depending upon what the guidelines and the parameters are,” Simon said. “On the other hand, with our balance sheet where it is today, we have the ability to go out and acquire a great strategic partner that can help us.”

Tilray’s recently launched drinks are infused with 5 milligrams of hemp delta 9 THC, which are easier to sell in states where the drug remains illegal. These include 420 Fizz and Fizzy Jane’s seltzers, in flavors like Lemon Lime and Blood Orange; and Herb & Bloom and Happy Flower mocktails, in varieties like Margarita and Peach Bellini. The drinks will compete with other RTD hemp-infused beverages, including Nowadays’ low-dose drinks and Jones Soda’s Mary Jones.