Canopy Growth Corporation (Canopy Growth) announced on April 18, 2024, that Greenstar Canada Investment Limited Partnership (Greenstar) and CBG Holdings LLC (CBG), both subsidiaries of Constellation Brands, Inc. (CBI), have converted all 17,149,925 common shares they held in Canopy Growth into an equal number of non-voting and non-participating exchangeable shares (Exchangeable Shares). This transaction, referred to as the CBI Exchange, resulted in the CBG Group no longer holding any common shares. Concurrently, Greenstar converted approximately C$81.2 million of a C$100 million promissory note into 9,111,549 Exchangeable Shares, with the remaining principal and accrued interest being cancelled and forgiven. This action, known as the Note Exchange, reduced Canopy Growth's overall debt by C$100 million. Following these transactions, the CBG Group now holds...Show More

Canopy Growth Corporation (Canopy Growth) announced on April 18, 2024, that Greenstar Canada Investment Limited Partnership (Greenstar) and CBG Holdings LLC (CBG), both subsidiaries of Constellation Brands, Inc. (CBI), have converted all 17,149,925 common shares they held in Canopy Growth into an equal number of non-voting and non-participating exchangeable shares (Exchangeable Shares). This transaction, referred to as the CBI Exchange, resulted in the CBG Group no longer holding any common shares. Concurrently, Greenstar converted approximately C$81.2 million of a C$100 million promissory note into 9,111,549 Exchangeable Shares, with the remaining principal and accrued interest being cancelled and forgiven. This action, known as the Note Exchange, reduced Canopy Growth's overall debt by C$100 million. Following these transactions, the CBG Group now holds 26,261,474 Exchangeable Shares. The Note Exchange is classified as a 'related party transaction' but is exempt from formal valuation and minority shareholder approval requirements. The Board of Directors of Canopy Growth has also undergone changes, with the resignation of the CBG Nominees following the termination of the Investor Rights Agreement, which previously granted CBI governance rights including board nomination. The Board is now composed of five members, including the CEO David Klein. Canopy Growth, a leading North American cannabis and consumer packaged goods company, continues to focus on its strategy and the advancement of the Canopy USA strategy.