American Eagle to start selling cannabis-based products this year

American Eagle Outfitters Inc will start selling cannabidiol (CBD)-infused personal care products in the United States later this year, entering a fast-growing market for daily consumer goods made with cannabis derivatives.

The apparel retailer will sell CBD-infused lotions, muscle balms and aromatherapy products developed and supplied by Green Growth Brands Inc, the Toronto-headquartered cannabis company said on Thursday.

The market for cannabis-based personal care is already crowded. French luxury goods maker LVMH's Sephora beauty chain has been selling CBD-infused products since 2018 and ULTA Beauty Inc launched sales of similar products earlier this year.

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Green Growth said American Eagle is expected to start sales of the products in nearly 500 stores and online in October.

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This is the third major wholesale deal for Green Growth since the passage of the U.S. farm bill in December. It legalized the cultivation and sale of hemp, a cannabis plant different from marijuana.

CBD, which is derived from hemp, is a nonpsychoactive chemical found in cannabis plants that is reputed to ease anxiety and other ills without causing a high.