Corona brewer boosts stake in marijuana producer for $4B

FAN Editor

The parent company of Corona beer and other alcoholic drinks is expanding its partnership with a Canadian pot producer, betting on the continued growth in the medical and recreational cannabis markets.

Constellation Brands Inc. said Wednesday it’s buying 104.5 million shares worth $4 billion in Canopy Growth Corp., boosting its stake in the company to 38 percent after its existing warrants are exercised.

Continue Reading Below

The companies said the investment is the largest one to date in the cannabis sector.

Constellation will also get nearly 140 million new warrants it could exercise over the next three years. If it does so, Constellation will own a majority stake in the Smiths Falls, Ontario, company.

Canopy plans to use the investment to build or acquire assets worldwide in the markets that allow medical marijuana.

Free America Network Articles

Leave a Reply

Next Post

White House criticized over incorrect African American employment numbers

The White House Council of Economic Advisers is facing backlash from economists after it acknowledged providing incorrect economic figures to press secretary Sarah Sanders regarding African American unemployment. Sanders during Tuesday’s briefing brushed off accusations of racism against President Trump amid his contentious feud with former aide Omarosa Manigault Newman […]