The Corona beer manufacturer, constellation brands, has invested $4 billion in the Canadian cannabis producer, canopy growth
Alcohol giant constellation brands, the manufacturer of the Corona brand, is investing $4 billion in one of Canada’s largest cannabis producers. Constellation Brands has just completed the largest cannabis contract in history, buying 38% of the Canadian giant canopy growth.
The biggest contract in the history of cannabis
Constellation Brands, among the first significant alcohol companies to invest in the marijuana industry, also injected nearly $200 million into canopy last year. The purpose of the agreement was to produce a non-alcoholic drink based on cannabis. Canopy growth will use the profits to expand its activities to 30 countries likely to approve medical marijuana, said the company’s CEO, Bruce Linton, according to Reuters.
“It’s rocket fuel,” Linton said. “We’re going to be much more global.”
We knew this had to happen.
In the face of slowing sales, the alcohol industry is adding cannabis as an advanced ingredient to its brewing. Because a growing number of people are choosing to fight whiskey and other spirits these days.
For example, Molson Coors brewing co. Has started a joint venture with hydropothecary corp. To develop cannabis-impregnated soft drinks for the Canadian market. Lagunitas, owned by Heineken, launched a non-alcoholic drink, infused with THC. However, their efforts will bear fruit if the stock market is an indication. Canopy’s Canadian shares jumped 52% after the announcement.
How does this translate in the American market?
Linton of canopy predicted that cannabis could become entirely legal in the united states. Moreover, “Sooner than people think”…
These companies face a formidable obstacle in the trump administration. Perhaps more specifically with attorney general jeff sessions, who for decades has made cannabis one of his main enemies. Trump seemed to move slightly on the issue when he announced that he would allow states to regulate their medical cannabis programs.