Ace Valley's strong consumer loyalty and focus
on "Ready to Enjoy" products further strengthens Canopy Growth's
leading house of brands
SMITHS FALLS, ON, April 1, 2021 /PRNewswire/ - Canopy Growth
Corporation ("Canopy Growth" or the "Company") (TSX: WEED) (NASDAQ:
CGC) is proud to announce that it has completed the acquisition of
AV Cannabis Inc. ("Ace Valley") - one of Ontario's leading cannabis brands. With a
strong focus on ready-to-enjoy ("RTE") products and a loyal
following of millennial and Gen-Z consumers, the acquisition will
strengthen Canopy's industry leading house of brands.
Through this acquisition, Canopy Growth will acquire 100 percent
of Ace Valley with the intention of leveraging the Company's
best-in-class national sales, marketing and distribution
capabilities to expand the product portfolio and scale the brand
across Canada.
"The team at Ace Valley has built a premium cannabis brand, with
an impressive consumer following and we're excited to deploy the
full distribution power of Canopy Growth to expand the brand to
consumers across Canada," said
Rade Kovacevic, President & Chief Product Officer of Canopy
Growth. "Ace Valley's complementary consumer positioning fits
perfectly into Canopy Growth's strategy of building authentic
brands that truly resonate with consumers."
"This is a Canadian success story and proof of the enduring
value of authentic, thoughtfully crafted brands and we're proud to
have built a strong and loyal consumer following behind Ace
Valley," said Mike Wagman and
Jesse Dallal, Founders of Ace
Valley. "Having collaborated with Canopy Growth through the early
success of the brand, we're confident that the integrity of Ace
Valley will endure as the talented team at Canopy Growth takes it
to the next level."
Ace Valley holds top 5 and top 10 market positions in
Ontario across its range of
SKUs1 and complements Canopy Growth's existing portfolio
of premium vapes, pre-roll joints, and gummies. Ace Valley has
carved out a leading position and a particularly strong following
among millennial and Gen-Z consumers. This success to date is a
perfect example of the continued value of consumer-focused brands,
confirming that many cannabis consumers are looking for premium,
RTE products from brands they connect with.
Canopy Growth expects to unlock revenue growth opportunities and
cost synergies as the Ace Valley brand is extended, leveraging
Canopy Growth's distribution network, and by optimizing the
mix of insourced and outsourced production to maximize margin.
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Based on Ontario
Cannabis Store (OCS) Sales Data
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About Canopy Growth Corporation
Canopy Growth (TSX:WEED,NASDAQ:CGC) is a world-leadinWebsite -
canopygrowth.comg diversified cannabis and cannabinoid-based
consumer product company, driven by a passion to improve lives, end
prohibition, and strengthen communities by unleashing the full
potential of cannabis. Leveraging consumer insights and
innovation, we offer product varieties in high quality dried
flower, oil, softgel capsule, infused beverage, edible, and topical
formats, as well as vaporizer devices by Canopy Growth and
industry-leader Storz & Bickel. Our global medical brand,
Spectrum Therapeutics, sells a range of full-spectrum products
using its colour-coded classification system and is a market leader
in both Canada and Germany. Through our award-winning Tweed and
Tokyo Smoke banners, we reach our adult-use consumers and have
built a loyal following by focusing on top quality products and
meaningful customer relationships. Canopy Growth has entered into
the health and wellness consumer space in key markets including
Canada, the United States, and Europe through BioSteel sports nutrition, and
This Works skin and sleep solutions; and has introduced additional
federally-permissible CBD products to the
United States through our First & Free and Martha
Stewart CBD brands. Canopy Growth has an established partnership
with Fortune 500 alcohol leader Constellation Brands. For more
information visit www.canopygrowth.com.
Notice Regarding Forward Looking Statements
This press release contains "forward-looking statements" and
"forward-looking information" within the meaning of applicable U.S.
and Canadian securities laws (collectively, "forward-looking
statements"), which involve certain known and unknown risks and
uncertainties. Forward-looking statements predict or describe our
future operations, business plans, business and investment
strategies and the performance of our investments. These
forward-looking statements are generally identified by their
use
of such terms and phrases as "intend," "goal," "strategy,"
"estimate," "expect," "project," "projections," "forecasts,"
"plans," "seeks," "anticipates," "potential," "proposed," "will,"
"should," "could," "would," "may," "likely," "designed to,"
"foreseeable future," "believe," "scheduled" and other similar
expressions. You are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date the
statement was made. Forward–looking statements are necessarily
based upon a number of estimates and assumptions that, while
considered reasonable by management, are inherently subject to
significant business, economic and competitive risks, financial
results, results, performance or achievements expressed or implied
by those forward–looking statements and the forward–looking
statements are not guarantees of future performance. Accordingly,
there are or will be important factors that could cause actual
outcomes or results to differ materially from those indicated in
these statements. A discussion of some of the material factors
applicable to Canopy Growth can be found under the section entitled
"Risk Factors" in Canopy Growth's Annual Report on Form 10-K for
the year ended March 31, 2020, filed
with the Securities and Exchange Commission and with applicable
Canadian securities regulators, as such factors may be further
updated from time to time in its periodic filings with the
Securities and Exchange Commission and with applicable Canadian
securities regulators, which can be accessed at
www.sec.gov/edgar and www.sedar.com, respectively. These
factors should not be construed as exhaustive and should be read in
conjunction with the other cautionary statements that are included
in this press release and in the filings. Any forward–looking
statement included in this press release is made as of the date of
this press release and, except as required by law, Canopy Growth
disclaims any obligation to update or revise any forward– looking
statement. Readers are cautioned not to put undue reliance on any
forward–looking statement. Forward-looking statements contained in
this press release are expressly qualified by this cautionary
statement.
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SOURCE Canopy Growth Corporation