News Contact Us

Constellation Brands to invest about USD 4B into Canada’s Canopy Growth

Author : Saipriya Iyer | Published Date : 2018-08-16 

Constellation Brands, one of the world’s largest wine makers has reportedly invested around USD 4 billion (GBP 3.13 billion) in Canada's top cannabis producing company, Canopy Growth. Sources claim that this deal valuation is apparently one of the largest investments recorded in this industry.

As per an official statement, the investment would allow the Canadian company to expand its business reach in new markets of almost 30 countries, following a legally authorized medical cannabis programme.

According to CNBC, Constellation Brands, reputed for its famous Modelo and Corona beer, has reportedly grabbed 9.9% stake in Canopy Growth. The deal will allow Constellation to make future investments in the company and will give it a strong foothold in the industry.

As per Constellation’s CEO, Rob Sands, the company has gained a better understanding of the cannabis market, its huge growth opportunities, and Canopy’s market-governing capabilities in this sector.

Prior to the new investment, Constellation had poured in USD 200 million in the Canadian cannabis maker to produce non-alcoholic cannabis based drinks. Apparently, the alcohol firm wants to take advantage of the rising demand and legalization of the once illegal drug, which according to sources is expected to be legalized soon in the U.S. as well.

Canopy Growth for the record, is one of the largest legal cannabis producers in the world and is currently developing new cannabis based products including soft gel caps, oils, inhalers, edible bars and pre-rolled items. In addition, the company has also made plans on developing cannabis based medicines that are likely to be a safer alternative for treatments of anxiety, pain, insomnia and psoriasis.

Constellation is reputed for manufacturing and supplying wine, beer and spirits in Canada, U.S., New Zealand, Mexico and Italy.

Reportedly, the Canadian government has passed a bill which would efficiently legalize the production and distribution of cannabis based products in its market. The bill is likely to be effective in October, claim sources.

About Author

Saipriya Iyer

Saipriya Iyer

Saipriya Iyer presently works as a content developer for fractovia.org. Having dabbled with the domain of content creation for nearly half a decade, she now boasts of an enviable portfolio, holding substantial experience in penning down pieces related to technology, finance, and a wide spectrum of other industry verticals. A qualified computer engineering graduate from the University of Pune, Saipriya can often be found leveraging her knowledge of software technology and electronics in her write-ups. She can be contacted at- [email protected] | https://twitter.com/saipriya_i

Related News

Discord gaming app to become a general-purpose communications platform

Published Date: 2020-07-02         Author: Saipriya Iyer

Discord application, which was originally launched with a focus on video games, has reportedly announced that it is planning to emerge into a more general-purpose communications platform. Jason Citron, the Founder and CEO of Discord, has stated that the company’s original branding did not s... Read More

Amazon to offer 20,000 temporary or seasonal employment opportunities

Published Date: 2020-06-29         Author: Saipriya Iyer

Amazon has recently stated that it will offer nearly 20,000 temporary or seasonal employment opportunities in its CS (customer service) organization. This will enable the company to offer a seamless shopping experience for users in India and across the globe. These temporary job opportunities wer... Read More

Singtel & StarHub choose Ericsson & Nokia as 5G network providers

Published Date: 2020-06-26         Author: Saipriya Iyer

Telecommunication operators in Singapore have reportedly chosen Ericsson AB & Nokia Oyj as the main 5G network providers. This has led Huawei Technologies Co. to have less significant contracts in the region. Singapore Telecommunications Limited has chosen Ericsson as its main 5G provider, wh... Read More

© 2020 Fractovia. All Rights Reserved