Constellation Brands acquires additional stake in Canopy Growth for US$177.2m

USA – Constellation Brands, a leading beverage alcohol company, has acquired an additional 5.1% stake in Canadian CDB-infused beverage company, Canopy Growth Corporation for C$245 million (US$177.22 million). As a result of the acquisition of new common shares, which was made through Greenstar Canada Investment Limited Partnership, an indirect, wholly-owned subsidiary of Constellation Brands, the company now owns 38.6% stake in Canopy Growth. The Corona beer brand owner said that the additional investment in Canopy Growth further reinforces its confidence in the CBD-infused beverage company’s ability to win long-tern in…

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Canopy Growth announces changes to global operations to drive strategic focus

CANADA – CBD-infused beverage producer, Canopy Growth Corporation has announced a series of global operational changes which the company expects to further optimize production, better align supply and demand, and improve efficiencies in its global operations. As part of its ongoing strategic review of the business, Canopy Growth announced that it is targeting a transfer of ownership of all of its African operations to a local business. The company has decided to exit the African market. Canopy Growth revealed that it has entered into an agreement to sell all its…

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Canopy Growth and Terrascend Canada enter US$58m financing agreement

CANADA – Canopy Growth Corporation, Canada’s leading cannabis infused beverage company and TerrAscend Canada, have entered into a loan financing arrangement worth C$80.5 million (US$58.15m). As part of the financing arrangement, TerrAscend has issued 17,808,975 common share purchase warrants to Canopy Growth. Canopy Growth initially co-invested in TerrAscend in November 2017. In November 2018, Canopy Growth announced the completion of a restructuring transaction with TerrAscend, in which TerrAscend restructured its share capital. “TerrAscend Canada has proven its ability to thrive and this loan is a strong signal that Canopy Growth…

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CBD-infused beverage producer Canopy Growth to close facilities in Canada

CANADA – Canadian cannabis infused beverage producer, Canopy Growth Corporation has unveiled the company’s production optimization plan that will result into the elimination of approximately 500 positions. As part of the Canopy’s effort to align supply and demand while improving production efficiencies over time, the Constellation Brands backed company plans to close its facilities in Aldergrove and Delta, British Columbia, western Canada. In addition, the Company no longer plans to bring a third greenhouse online in Niagara-on-the-Lake, Ontario. The greenhouses in British Colombia account for approximately 3 million square feet…

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Canopy Growth names Constellation Brands’ veteran as new Chief Executive Officer

CANADA – Canopy Growth Corporation has appointed Constellation Brands’ executive vice president and chief financial officer David Klein as the company’s new Chief Executive Officer, effective January 14, 2020. David will be replacing Mark Zekulin who will be stepping down from his role as CEO and resigning his seat on the Board of Directors of Canopy effective December 20, 2019.  As a founding employee of Canopy Growth (then Tweed Marijuana Inc.), Mark was instrumental in building Canopy into what it is today first in the role of President, then President…

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Canopy Growth begins production of cannabis-infused beverages at its Canadian facility

CANADA – Canopy Growth Corporation, a leading diversified cannabis company, has begun production of cannabis-infused beverages at its beverage facility located at company headquarters in Smiths Falls, Ontario, Canada. The company announced that the 150,000 square-feet facility has received an operating and secure storage licence from Health Canada, which saw Canopy commence operations at the facility. Canopy Growth plans to produce eleven beverages, all based on the company’s unique Distilled Cannabis process in the Smiths Falls facility during the first wave of production, with more added throughout the year. With…

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Constellation Brands posts Q2 loss linked to Canopy Growth’s investment

USA – American beverage company, Constellation Brands reported a loss of US$525.2 million during its second quarter ending August impacted by a US$484 million loss on an investment in Canopy Growth, a Canadian cannabis company. Post transaction, Canopy reported in its first-quarter earnings that it recorded total loss of US$960 million, including a US$900 million charge related to warrants from its investor agreement with Constellation Brands. Outside of the investment in cannabis, Constellation reported improved performance in the beer category. Modelo sales grew 15% during the quarter, and Corona Refresca…

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Coca-Cola in talks with cannabis-infused beverages company Aurora Cannabis

USA – The Coca-Cola Company, the global manufacturer for non-alcoholic beverages, is in “serious talks” with Aurora Cannabis Inc. to develop cannabis-infused beverages, a move that would signal a significant foray into the marijuana sector. According to Bloomberg, Coca-Cola is interested in developing beverages that are infused with cannabidiol, commonly referred to as CBD, the non-psychoactive chemical found in marijuana plants. Unlike other deals between alcohol makers and cannabis producers aimed at making drinks that will give consumers a “buzz” similar to inhaling marijuana, Coca-Cola and Aurora would likely develop…

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Constellation Brands acquires 38% ownership of cannabis producer Canopy Growth

USA – Constellation Brands, a leading beverage alcohol company, has announced that it has acquired 38% ownership of Canopy Growth Corporation, a leading diversified cannabis company. The companies also announced a significant expansion of their strategic partnership to position Canopy Growth as the global leader in cannabis production, branding, intellectual property and retailing. According to Constellation Brands, it will increase its ownership interest in Canopy Growth by acquiring 104.5 million shares directly from Canopy Growth, thereby achieving approximately the 38% ownership when assuming exercise of the existing Constellation warrants. The…

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