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CGC - Canopy Growth News Story

$19.06 0.8  4.3%

Last Trade - 03/08/20

Sector
Healthcare
Size
Large Cap
Market Cap £5.18bn
Enterprise Value £4.51bn
Revenue £227.8m
Position in Universe 936th / 6366

BUZZ-Pot producer Canopy Growth climbs as Constellation Brands ups stake

Mon 4th May, 2020 12:31pm
** Cannabis producer's U.S.-listed shares  CGC.N  up 9.1% at
$16.7 premarket
    ** Corona beer maker Constellation Brands'  STZ.N  unit has
exercised warrants to buy shares of Canopy, increasing its stake
to 38.6%  urn:newsml:reuters.com:*:nL4N2CJ32P
    ** The warrants, originally issued on Nov. 2, 2017, were
exercised at C$12.9783 per common share for a total of about
C$245 mln
    ** "While global legalization of cannabis is still in its
infancy, we continue to believe the long-term opportunity in
this evolving market is substantial," STZ CEO Bill Newlands
 urn:newsml:reuters.com:*:nGNE67xC3s
    ** Brokerage Jefferies calls it a "financially sensible"
decision, but adds it is premature to draw conclusions on
whether STZ will exercise remaining tranches
    ** 6 of 12 brokerages rate CGC "buy" or higher, 6 "hold";
Median PT $25 - Refinitiv Eikon
    ** Stock down 27.6% YTD, as of last close

 (Reporting by Arundhati Sarkar in Bengaluru)
 ((Arundhati.Sarkar@thomsonreuters.com; +1 646 223 8780 Ext:
2776; Reuters Messaging:
arundhati.sarkar.thomsonreuters.com@reuters.net))
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