Canopy Growth reaches into the U.S.
Published on June 21, 2019 by David Wylie
Canadian company Canopy Growth further clinched its grip on world cannabis domination by approving the acquisition of Acreage.
The deal provides Canopy with conditional access to the U.S. cannabis market. It means their own brands, including Tweed, Toyko Smoke and Houseplant, have access south of the border when (and if) the deal goes through.
Bruce Linton, chairman & co-CEO, Canopy Growth, says the acquisition of Acreage is a key step in bolstering its position as a global company.
Based in the U.S., Acreage is well-positioned with its own production and retail holdings across states.
Ontario-based Canopy announced this week that its shareholders “voted overwhelmingly in favour” of the deal.
The acquisition will execute once a “triggering event” takes place in the U.S., namely federal legalization.
Canopy is also gobbling up hemp holdings across the border. When at full capacity, Canopy Growth’s American footprint, largely contracted with American farmers versus owned operations, will cover more than 4,000 acres (or about 11,072 hockey rinks, eh.) Nearly half will be located in New York State, including 1,000 acres of high-CBD hemp and 1,000 acres of high-fibre hemp.
Meanwhile, Canopy released its fourth quarter earnings on Thursday.