Canopy Growth Corporation (NYSE: CGC) just announced that it has successfully agreed, along with Acreage Holdings, Inc. (OTC: ACRGF) to acquire 100% of Acreage Holdings. The two companies are officially entered into a definitive arrangement agreement where Canopy Growth has the rights to acquire all of the issued and outstanding shares of Acreage. The moment that the sale is recognized to be legal through the eyes of the federal government within the United States, has approval from Acreage shareholders, and the approval of the Supreme Court of British Columbia, Acreage Holdings is required to complete said acquisition transaction.
Bruce Linton, Chairman and co-Chief Executive Officer of Canopy Growth, stated: “Today we announce a complex transaction with a simple objective. Our right to acquire Acreage secures our entrance strategy into the United States as soon as a federally-permissible pathway exists. By combining Acreage’s management team, licenses and assets with Canopy Growth’s intellectual property and brands, there will be tremendous value creation for both companies’ shareholders.”
A global and nation-wide cannabis corporation, with a hand in each specific cannabis sector, cannabidiol (CBD), medical cannabis, recreational cannabis, and more is expected to be a result of this acquisition combination. Canopy Growth will have what is reported to be a leadership position within every international market, such as Latin America, Europe, and the Asia-Pacific, along with the U.S. and Canada.
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