SMITHS FALLS, ON and
TORONTO, Sept. 14, 2017 /CNW/ - Canopy Growth
Corporation (TSX:WEED) ("Canopy Growth" or the "Company") is
pleased to announce that it has completed a previously announced
agreement with Cannabis Care Canada Inc. ("CCC") to sell its
wholly-owned subsidiary Mettrum (Bennett
North) Ltd. ("Bennett Road North"), which is licensed by
Health Canada under the Access to Cannabis for Medical
Purposes Regulations (ACMPR) to produce and sell dried cannabis
and cannabis oil.
CCC is financially backed by Laborers International Union of
North America ("LiUNA"),
North America's single largest
construction union with over 100,000 Canadian members. Under the
terms of the agreement, CCC has paid the Company $7.0 million in cash to acquire Bennett Road
North and entered into a three-year "take or pay" Supply Agreement
with Canopy Growth for high quality dried flowers and refined
cannabis resin, with the sale of product at Canopy Growth's
discretion.
As part of the transaction, CCC will assume all outstanding
obligations associated with Bennett Road North. The main Mettrum
Bowmanville facility, also on Bennett Road, is unaffected by this
transaction. It is now in full production following
post-acquisition retrofit and expansion work that has increased
output by over 200%.
"Entering into an agreement of this scale with Cannabis Care
Canada signals loud and clear that attitudes towards cannabis are
transforming across mainstream society as workers and employers
increasingly recognize the merits of medical cannabis over other
existing alternatives," said Bruce
Linton, Chairman & CEO, Canopy Growth.
Bennett Road North will be renamed Starseed Medicinal Inc.
("Starseed") a wholly-owned subsidiary of CCC, whose board members
include Mr. G. Edmund King (former
CEO and Chairman of Wood Gundy), Dr. Hugh
E. Scully (previously president of both the Ontario and Canadian Medical Associations),
and retired Major-General Lewis
Mackenzie.
"Our business operates better when our members are able to treat
their injuries without heightened risk of addiction, and we believe
cannabis is a medicine that can treat many ailments, including the
management of pain," said Joseph
Mancinelli, International VP of LiUNA. "Working in
conjunction with Starseed, with high quality products produced by
the Canopy Growth family of producers, we want to ensure medical
cannabis treatment is available to all of our members and their
families."
Laborers International Union of North
America ("LiUNA"), North
America's single largest construction union, is a
shareholder of Cannabis Care Canada Inc. and will be working
closely with Starseed on behalf of its members.
Here's to (yes, we were actually working over the summer, and of
course,) Future Growth.
About Canopy Growth Corporation
Canopy Growth is a
world-leading diversified cannabis company, offering distinct
brands and curated cannabis varieties in dried, oil and capsule
forms. Through its wholly‑owned subsidiaries, Canopy Growth
operates numerous state-of-the-art production facilities with over
half a million square feet of GMP-certified indoor and greenhouse
production capacity, all to an unparalleled level of quality
assurance procedures and testing. Canopy Growth has established
partnerships with leading sector names in Canada and abroad, with interests and
operations spanning four continents. The Company is proudly
dedicated to educating healthcare practitioners, providing
consistent access to high quality cannabis products, conducting
robust clinical research, and furthering the public's understanding
of cannabis. For more information visit www.canopygrowth.com.
About LiUNA
Established in 1903, The Labourers'
International Union of North
America (L.i.U.N.A.) has been at the forefront of defending
the rights of working men and women who have been unfairly treated
by governments and industry. This union movement became a platform
to enact change, where wrongdoings were addressed and the voice of
the working people finally listened to. LiUNA remains an advocate
for worker's rights, as we continue to work together for the
betterment of our members and for the men and women throughout
Canada. LiUNA proudly represents
over 110 000 members, building better communities across
North America.
Notice Regarding Forward Looking Statements
This news release contains forward-looking statements. Often, but
not always, forward-looking statements 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 involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Canopy Growth Corporation, Tweed
Inc., Tweed Farms Inc., Mettrum Health Corp., or Bedrocan Canada
Inc. to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements. Examples of such statements include
future operational and production capacity, the impact of enhanced
infrastructure and production capabilities, and forecasted
available product selection. The forward-looking statements
included in this news release are made as of the date of this news
release and Canopy Growth Corp. does not undertake an obligation to
publicly update such forward-looking statements to reflect new
information, subsequent events or otherwise unless required by
applicable securities legislation.
Neither the TSX Exchange nor its Regulation Services Provider
(as that term is defined in policies of the TSX Exchange) accepts
responsibility for the adequacy or accuracy of this release.
SOURCE Canopy Growth Corporation