Beer Giant Constellation Brands Buys Into World’s Largest Cannabis Grower
One of the biggest beer conglomerates in the world, Constellation Brands, just made a big move into the marijuana industry. The company purchased nearly 10 percent stake in Canopy Growth Corporation, the largest publicly traded cannabis grower in the world.
Along with the deal, Constellation Brands’ President and CEO Rob Sands shared some insight into possible changes in federal marijuana law. According to Sands, nationwide legalization is “highly likely,” and they are already working on cannabis-infused beverages.
In an interview with the Wall Street Journal, Sands said they plan to launch the new marijuana drinks sometime next year, beginning with countries where recreational marijuana use is legal. Canada could be at the top of that list – the Canadian government is considering a change to its current marijuana law that would legalize recreational use in 2018.
Sands noted that Constellation does not plan to launch sales of marijuana beverages in the United States until the products would be legal on a national level.
Canopy Growth Corporation was founded in Canada in 2014. It was one of the first companies to launch in Canada’s legal marijuana market. It is the parent company of several cannabis brands in Canada as well as international markets.
Canopy’s cannabis production is enormous. The company operates not one but “numerous” state-of-the-art grow facilities, totaling more than half-a-million square feet of indoor greenhouse marijuana production.
Constellation’s investment in Canopy is roughly C$245 million, along with warrants that give Constellation the option to buy additional shares in the future.