Corona beer owner to pour $4bn into weed Corona beer owner Constellation Brands is set to pour some $4bn (£3.15bn) into Canada's top cannabis producer, Canopy Growth, in a deal marking the largest investment in the industry to date. Last year, Constellation injected $200m into Canopy in a deal to produce a non-alcoholic cannabis-based beverage. The alcohol firm wants to capitalise on the growing legalisation of the drug. On news of the deal, Canopy's Toronto-listed stock surged 30%, while on Wall Street, Constellation's fell 6%. The two firms said the investment would allow Canopy to expand its business reach "in the nearly 30 countries pursuing a federally permissible medical cannabis programme". Canopy, which has the largest legal cannabis production footprint in the world, currently produces cannabis-based oils and soft gel caps, among other products. With Constellation's latest injection of cash, Canopy plans to expand its suite of products to include edible bars, inhalers and pre-rolled items. It also wants to develop cannabinoid-based medicines that provide a safer alternative to some mainstream treatments for pain, anxiety, sleeplessness and psoriasis. "This [deal] marks the end of the warm-up in our sector... it's fully go-time," said Canopy's chief executive Bruce Linton on an investment call. 'Tremendous growth opportunity' Constellation, which makes and markets beer, wine and spirits in the US, Canada, Mexico, New Zealand and Italy, noted that governments around the world had already signalled a significant change in attitudes towards cannabis and cannabis-based products. "Over the past year, we've come to better understand the cannabis market, the tremendous growth opportunity it presents, and Canopy's market-leading capabilities in this space," said Rob Sands, chief executive of Constellation Brands. In June, the Canadian government passed a bill which will effectively legalise the recreational cannabis market in the country. The bill is set to be rolled out in October. Constellation's latest investment in Canopy takes its ownership in the firm to 38%. The deal is subject to regulatory approval and is expected to be closed no earlier than the end of October.
Until it is legal at a federal level, it's still too risky for big business. This article is about Canada. Although, maybe we get jealous of Canada? imo, what will turn it in the US, is essentially solving one of its biggest business risks -- banking -- since it's illegal federally. There is a banking problem. The industry is still a cash-based one. Once the banks solve this problem, by creating small banks that are removed from federal regulation, then that's "big business." I'm actually betting on Texas solving this banking issue, and it's all downhill from there.
I like this move. Been toying with the idea of buying some STZ for a while now, and yesterday's dip pushed me to finally do it.
Legal mar1juana could soon be a bigger market than soda Legal mar1juana is set to hit $75 billion in sales by 2030, according to a note from analysts at the investment bank Cowen. Weed is already putting pressure on alcohol sales. In states that have legalized mar1juana, binge drinking rates are declining. The market for mar1juana could eventually eclipse soda sales.
And when is binge drinking ever a good thing? I don’t really have a stance on this either way, but I do find it hypocritical that a country that profits a ton off alcohol and tobacco would have a hard line stance on this substance... while other countries start to profit from it.
Checked out People's OC recently when I was out in Orange Country last week. Overpriced and didn't have a few things I was looking for so I recommend looking at ratings on Weedmaps. The illegal market is still huge and it will be unless prices get down to where they need to be.
Obviously in college. Drug laws are mostly about the massive billion-dollar prison-industrial complex and law enforcement-industrial complex. It's all about money. If selling weed is worth more than putting stoners in jail, the weed lobbying will beat the anti-weed lobbying in funding, and poof, we have legal weed at the federal level.
