(CNN Money)– Coca-Cola is considering a move into the growing market for cannabis-infused drinks.
Coke said in a statement Monday that it is “closely watching” the growth of CBD, a non-psychoactive component in marijuana, as an ingredient in what it called functional wellness beverages.
“The space is evolving quickly,” Coke said. “No decisions have been made at this time.”
CBD, which does not produce a high for the user, has been used for medical purposes, including easing inflammation, pain and nausea.
Coke’s interest was first reported by Bloomberg, which said the company was in talks with Aurora Cannabis, a Canadian cannabis company. Aurora has also expressed interest in cannabis drinks. Neither would comment on a possible deal.
“There is so much happening in this area right now and we think it has incredible potential,” said Aurora spokesperson Heather MacGregor. “Stories like this are further validation of the massive global potential of the cannabis industry.”
Both Coke and rival Pepsico have been trying to expand their businesses beyond traditional soft drinks as people drink less soda because of health concerns. Just last week, Coke announced a deal to buy Costa Coffee for $5 billion.