SMITHS FALLS, ON and
TORONTO, Sept. 5, 2018 /CNW/ - Canopy Growth
Corporation ("Canopy Growth") (TSX: WEED) (NYSE: CGC) and Hiku
Brands Company Ltd. ("Hiku") (CSE: HIKU) (together, the
"Companies") are pleased to announce the closing of the previously
announced acquisition of Hiku by Canopy Growth (the
"Transaction").
Today's announcement follows Hiku's special meeting of
shareholders held on August 30, 2018
where holders of the common shares of Hiku (the "Hiku Shares")
voted to approve the Transaction.
"Leaves begin to turn. Canopy adds bold new brands. Ready for
retail," commented Bruce Linton,
Chairman & Co-CEO, Canopy Growth. "The Tweed and Vert brands
we've built are now complemented with the likes of DOJA, Tokyo
Smoke, Maitri, and Van der Pop,
placing the taste-makers of tomorrow's cannabis industry on the
same team."
"Since day one we've believed in a singular vision – that
recreational cannabis is a consumer product and that consumers will
ultimately choose brands they identify with from exceptional retail
environments," said Alan Gertner,
CEO, Hiku. "Today is a pivotal moment in our journey as it
represents the chance to tell our story on the biggest stage with
the greatest cannabis company the world has ever seen. We could not
be more honoured to bring best in class brands and retail to
consumers alongside Canopy Growth."
As a result of the Transaction, Hiku has become a wholly-owned
subsidiary of Canopy Growth and the Hiku Shares are anticipated to
be de-listed from the Canadian Securities Exchange on September 6, 2018. Trading of the Hiku Shares was
halted on the Canadian Securities Exchange as of noon on
August 31, 2018. Pursuant to the
Transaction, Canopy Growth acquired 100% of the issued and
outstanding common shares of Hiku and Hiku shareholders are
entitled to receive 0.046 of a Canopy Growth common share in
exchange for each Hiku Share held immediately prior to the
closing.
Full details of the Transaction are set out in the management
information circular of Hiku dated July 27,
2018 (the "Information Circular"). A copy of the Information
Circular and the early warning report to be filed by Canopy Growth
in connection with the purchase of the Hiku Shares can be found
under Hiku's profile on SEDAR at www.sedar.com or by
contacting Canopy Growth as set out below.
Here's to Future Growth (and welcoming Hiku to the Canopy
family!).
About Canopy Growth Corporation
Canopy Growth is a
world-leading diversified cannabis and hemp company, offering
distinct brands and curated cannabis varieties in dried, oil and
Softgel capsule forms. From product and process innovation to
market execution, Canopy Growth is driven by a passion for
leadership and a commitment to building a world-class cannabis
company one product, site and country at a time.
The Company has operations in 11 countries across five
continents. The Company is proudly dedicated to educating
healthcare practitioners, conducting robust clinical research, and
furthering the public's understanding of cannabis, and through its
partly owned subsidiary, Canopy Health Innovations, has devoted
millions of dollars toward cutting edge, commercializable research
and IP development. Through partly owned subsidiary Canopy Rivers
Corporation, the Company is providing resources and investment to
new market entrants and building a portfolio of stable investments
in the sector. From our historic public listing on the Toronto
Stock Exchange and New York Stock Exchange to our continued
international expansion, pride in advancing shareholder value
through leadership is engrained in all we do at Canopy Growth.
Canopy Growth has established partnerships with leading sector
names including cannabis icon Snoop Dogg, breeding legends DNA
Genetics and Green House seeds, and Fortune 500 alcohol leader
Constellation Brands, to name but a few. Canopy Growth operates ten
licensed cannabis production sites with over 2.7 million square
feet of production capacity, including over 500,000 square feet of
GMP certified production space.
For more information visit www.canopygrowth.com
About Hiku Brands
Hiku is focused on building a
portfolio of engaging cannabis brands, unsurpassed retail
experiences and handcrafted cannabis production. With a national
retail footprint led by Tokyo Smoke, craft cannabis production
through DOJA's ACMPR licensed grow, Van der
Pop's female-focused educational platforms, and Ma•tri,
Hiku's Quebec based cannabis brand
featuring high quality handmade accessories, Hiku houses an
industry-leading portfolio that aims to set the bar for cannabis
brands in Canada.
Hiku's wholly-owned subsidiary, DOJA Cannabis Ltd., is federally
licensed to cultivate and sell cannabis pursuant to the ACMPR,
owning two production facilities in the heart of British Columbia's Okanagan Valley. Hiku's
subsidiary, TS Brandco Holdings Inc. ("Tokyo Smoke"), has been
conditionally awarded one of four master retail licenses in
Manitoba. Hiku also operates a
network of retail stores selling coffee, clothing and curated
accessories, across British
Columbia, Alberta and
Ontario.
Notice Regarding Forward Looking
Statements
This news release contains "forward-looking
statements" within the meaning of the United States Private
Securities Litigation Reform Act of 1995 and "forward-looking
information" within the meaning of applicable Canadian securities
legislation. Often, but not always, forward-looking statements and
information can be identified by the use of words such as "plans",
"expects" or "does not expect", "is expected", "estimates",
"intends", "anticipates" or "does not anticipate", or "believes",
or variations of such words and phrases or state that certain
actions, events or results "may", "could", "would", "might" or
"will" be taken, occur or be achieved. Forward-looking statements
or information involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or
achievements of Canopy Growth, Hiku or their respective
subsidiaries to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements or information contained in this news
release. These forward-looking statements include, but are not
limited to, statements relating to our expectations with respect
to: the anticipated timing for delisting of the Hiku Shares and the
anticipated benefits of the Transaction. Risks, uncertainties and
other factors involved with forward-looking information could cause
actual events, results, performance, prospects and opportunities to
differ materially from those expressed or implied by such
forward-looking information, including risks contained in Canopy
Growth's annual information form dated June
28, 2018, in Hiku's management's discussion and analysis for
the three months ended June 30, 2018
and in the Information Circular, filed with Canadian securities
regulators and available on Canopy Growth and Hiku's respective
issuer profiles on SEDAR at www.sedar.com. Readers are cautioned
that the foregoing list of factors is not exhaustive. Although
Canopy Growth and Hiku believe that the assumptions and factors
used in preparing the forward-looking information or
forward-looking statements in this news release are reasonable,
undue reliance should not be placed on such information and no
assurance can be given that such events will occur in the disclosed
time frames or at all. The forward-looking information and
forward-looking statements included in this news release are made
as of the date of this news release and Canopy Growth and Hiku do
not undertake an obligation to publicly update such forward-looking
information or forward-looking information to reflect new
information, subsequent events or otherwise unless required by
applicable securities law.
SOURCE Canopy Growth Corporation