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Constellation Brands will increase its ownership interest in Canopy Growth by acquiring We look forward to supporting Canopy as they extend their recognized global leadership position in the medical and recreational cannabis space. Through its subsidiaries Tweed and Spectrum Cannabis, Canopy Growth has established a global presence in 11 countries which is driven by product innovation, a robust intellectual property portfolio, and clinical research programs targeting both human and animal health.

We view this investment in our business as an endorsement of our execution since forming our initial strategic relationship in October Canopy Growth will remain a proudly Canadian publicly-traded company headquartered in Smiths Falls, Ontario, Canada and will continue to be led by its existing management team, who will continue to manage all international cannabis operations. As part of its investment, Constellation is receiving Of those, If Constellation were to exercise all existing and new warrants, its ownership would exceed 50 percent.

Both companies have no plans to sell cannabis products in any market unless it is permissible to do so at all applicable government levels. Canopy Growth remains committed to not entering the U.

Constellation expects to account for its investment under the equity accounting method. In addition, Constellation Brands remains committed to its investment grade rating and therefore, has no plans to engage in mergers, acquisitions or share repurchase activity until the company returns to its 3. The transaction is subject to customary closing conditions, including Canopy shareholder approval and applicable Canadian government and regulatory approvals, and is expected to close by the end of October Canada Ltd.

Kingsdale Advisors is acting as strategic shareholder communications advisor and proxy solicitation agent to Canopy Growth. Canopy Growth shareholders should contact Kingsdale Advisors at Or collect outside North America at , or by email at contactus kingsdaleadvisors.

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