Corona Beer Maker Walks Away From Remaining Warrants Of Weed Giant Canopy Growth
Portfolio Pulse from Jelena Martinovic
Constellation Brands, Inc. (STZ) has let all its warrants to acquire shares of Canopy Growth Corp. (CGC) expire, stating it has no current plans related to Canopy. This means Constellation no longer beneficially owns any of the common shares underlying the warrants. However, through its subsidiaries, it still holds a stake in Canopy amounting to 171.5 million common shares or around 20.7% of the total outstanding shares. Other alcohol companies, such as Molson Coors Beverages Co. (TAP), have also invested in the cannabis industry. Additionally, tobacco company British American Tobacco (BTI) has made a strategic equity investment in Canadian cannabis company Organigram Holdings Inc. (OGI).
November 07, 2023 | 6:19 pm
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Constellation Brands has let its warrants to acquire additional shares in Canopy Growth expire.
The decision by Constellation Brands to let its warrants expire could be seen as a lack of confidence in Canopy Growth's future performance, which could negatively impact the company's stock price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
NEUTRAL IMPACT
Constellation Brands has let its warrants to acquire shares in Canopy Growth expire, but still holds a significant stake in the company.
While Constellation Brands has let its warrants expire, it still holds a significant stake in Canopy Growth, indicating it still sees value in the company. However, the decision to let the warrants expire could be seen as a lack of confidence in Canopy's future performance.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
POSITIVE IMPACT
British American Tobacco has made a strategic equity investment in Canadian cannabis company Organigram Holdings.
British American Tobacco's investment in Organigram Holdings could potentially open up new revenue streams for the company, which could positively impact its stock price.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
Organigram Holdings has received a strategic equity investment from British American Tobacco.
The investment from British American Tobacco could provide Organigram Holdings with additional capital to invest in growth initiatives, which could positively impact its stock price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
POSITIVE IMPACT
Molson Coors has been investing in the cannabis industry, including launching a CBD-infused drink for the Canadian market.
Molson Coors' investments in the cannabis industry and the launch of a CBD-infused drink could potentially open up new revenue streams for the company, which could positively impact its stock price.
CONFIDENCE 80
IMPORTANCE 60
RELEVANCE 50