London-based firm will be an
integral part of Canopy Growth's entry into the natural wellness
industry and further strengthens the Company's international
presence
SMITHS FALLS, ON and
LONDON, May
22, 2019 /CNW/ - Canopy Growth Corporation (TSX: WEED)
(NYSE: CGC) (the "Company" or "Canopy Growth") has finalized an
all-cash transaction to acquire This Works for a purchase price of
£43 million (CDN $73.8 million).
Founded in 2004, This Works has cemented itself as a global leader
in natural skincare and sleep solutions with a devout customer base
spanning 35 countries.
Headquartered in London,
England, This Works offers a range of high-quality natural
skincare and sleep solution products that have rewarded the company
with a loyal following of customers purchasing their best-known
products including deep sleep pillow spray, morning expert
hyaluronic serum, and skin deep dry leg oil.
Through their unique approach of formulating solutions that work
in harmony with the 24hr body clock, This Works has evolved its
product lines beyond a traditional viewpoint to a more complete
regimen that maximizes skin – and overall wellness – at every phase
of the day, starting with a good night's sleep. This acquisition is
a key aspect of a multi-faceted hemp and CBD strategy as Canopy
Growth continues to build upon its vertically-integrated production
and marketing platform, that currently includes thousands of acres
of hemp production across several continents, hundreds of millions
of dollars of capital investment into hemp-derived CBD production
and processing, rapid expansion across the European Union and other
key regions, and the introduction of new CBD-infused products and
brands to the global beauty, wellness, and sleep solution
space.
This Works CEO, Dr. Anna Persaud,
will remain at the helm of business operations post-acquisition to
continue moving the company forward. Since joining the company in
2009, Dr. Persaud has worked arduously to develop targeted skin
solutions, which combine the brand's knowledge of the body clock
with modern lifestyle learnings, all backed by science. This
approach to product development is best evidenced by This Works'
award-winning natural sleep solutions, with 4.2 million pillow
sprays sold across Europe, the
United Kingdom, China and the United
States since the brand's first deep sleep pillow spray
launched in 2011. Together, Canopy Growth and This Works will
continue to support all of This Works' current operations with an
accelerated focus on global expansion and product development to
include a new line of skincare and sleep solution products infused
with CBD.
"Since 2004, This Works has been committed to creating highly
effective, natural skin solutions which are rooted in science and
proven to work. We are excited about this new chapter in our
company's history and the opportunity to join Canopy Growth, the
world's leading diversified cannabis and hemp company," shared Dr.
Anna Persaud. "As a leading wellness
brand and a pioneer in sleep beauty products, we are passionate
about the opportunity CBD offers beauty consumers. Canopy Growth
will provide the expertise, research, scientific rigour and quality
assurance that will allow This Works to drive the agenda in
wellness beauty's ever-evolving market."
"We were struck by how loyal and satisfied the This Works
customer base is, which is a testament to the integrity rooted in
the company and how confidently they can stand behind their name,"
said Bruce Linton, Chairman &
Co-CEO, Canopy Growth. "We believe CBD has the potential to disrupt
the cosmetic and sleep solution industries and have been working
for years to build and establish the right entry point into this
opportunity. As soon as we met with Dr. Persaud and her team, we
knew they were the right partner to embark with on this
journey."
In addition to strengthening Canopy Growth's product offering,
bringing This Works "under the canopy" will enhance the Company's
international footprint and operations within the United Kingdom. In January 2019, the Company announced Spectrum
Biomedical UK, a joint venture between Canopy Growth Corporation
and Oxford-based research company Beckley Canopy Therapeutics to
address the need for high-quality cannabis-based medicinal products
in the UK.
Here's to Future (Cosmetics, Sleep, and overall Wellness)
Growth.
About Canopy Growth Corporation
Canopy Growth
(TSX:WEED, NYSE:CGC) is a world-leading diversified cannabis, hemp
and cannabis device company, offering distinct brands and curated
cannabis varieties in dried, oil and Softgel capsule forms, as well
as medical devices through the Company's subsidiary, Storz &
Bickel GMbH & Co. KG. 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 over a dozen countries across five continents.
The Company's medical division, Spectrum Therapeutics is proudly
dedicated to educating healthcare practitioners, conducting robust
clinical research, and furthering the public's understanding of
cannabis, and has devoted millions of dollars toward cutting edge,
commercializable research and IP development. Spectrum Therapeutics
sells a range of full-spectrum products using its colour-coded
classification Spectrum system as well as single cannabinoid
Dronabinol under the brand Bionorica Ethics.
The Company operates retail stores across Canada under its award-winning Tweed and Tokyo
Smoke banners. Tweed is a globally recognized cannabis brand which
has built a large and loyal following by focusing on quality
products and meaningful customer relationships.
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 icons Snoop Dogg and Seth
Rogen, 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 4.4 million square feet of production capacity, including
over one million square feet of GMP certified production space. For
more information visit www.canopygrowth.com
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 or its
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. Examples of such statements include statements such as
"This acquisition is a key aspect of a multi-faceted hemp and CBD
strategy as Canopy Growth continues to build upon its
vertically-integrated production and marketing platform, that
currently includes thousands of acres of hemp production across
several continents, hundreds of millions of dollars of capital
investment into hemp-derived CBD production and processing, rapid
expansion across the European Union and other key regions, and the
introduction of new CBD-infused products and brands to the global
beauty, wellness, and sleep solution space". 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 the Company's
ability to satisfy provincial sales contracts or provinces
purchasing all cannabis allocated to them, and such risks contained
in the Company's annual information form dated June 27, 2018 and filed with Canadian securities
regulators available on the Company's issuer profile on SEDAR at
www.sedar.com. Although the Company believes 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 the Company does 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 laws.
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SOURCE Canopy Growth Corporation