Legal highs: The drinks companies taking on cannabis

Constellation Brands

Constellation Brands jumped on the weed wagon early, purchasing a 9.9% stake in Canadian marijuana company Canopy Growth Corp for £141 million back in October 2017.

The owner of Corona, Kim Crawford Wines and Ballast Point has plans to make cannabis drinks, and this year increased its stake in Canopy Growth, investing US$4 billion to acquire a 38% share of the business.

Constellation’s confidence in the sector appears to be paying off already, with the value of its shares in the cannabis company already worth an extra $1.3 billion, as reported in its second quarter results.

Since November last year, shares in Canopy Growth have climbed more than 285%, with the producer confirming that “$1.3 billion unrealised gain has been recognised since investment in November 2017.”

“Our $4 billion investment in Canopy Growth provides us with a strong foothold in the emerging global cannabis market, which could be one of the most significant growth opportunities of the next decade,” Rob Sands, Constellation’s CEO said in a statement.

Leave a Reply

Your email address will not be published. Required fields are marked *

Please note that comments are subject to our posting guidelines in accordance with the Defamation Act 2013. Posts containing swear words, discrimination, offensive language and libellous or defamatory comments will not be approved.

We encourage debate in the comments section and always welcome feedback, but if you spot something you don't think is right, we ask that you leave an accurate email address so we can get back to you if we need to.

Subscribe to our newsletters

Global Chardonnay Masters 2019

Deadline : 25th November 2019

The Global Riesling Masters 2019

Deadline : 2nd December 2019

Click to view more

Rioja Masters 2019

View Results

The Global Sparkling Masters 2019

View Results

Click to view more