Corona Beer Maker’s Bet on Marijuana Has Already Netted More Than $1 Billion
Constellation Brands, the company behind Corona beer, bought a huge stake in the marijuana company Canopy Growth in October of last year, an investment that has already made huge profits for the company.
Canopy Growth is the world’s largest publicly traded marijuana company. Since November, shares of the company have climbed more than 285%. Constellation has announced plans to invest an additional $4 billion in the company by the end of the month.
“Our $4 billion investment in Canopy Growth provides us with a strong foothold in the emerging global cannabis market, which could be one of the most significant growth opportunities of the next decade,” Rob Sands, Constellation’s CEO said in a statement.
After its additional investment, Constellation will own 38% of Canopy Growth.
Constellation isn’t the only alcoholic drink maker that’s dipping its toes in the legal marijuana business. Anheuser-Busch is reportedly looking to investing in the cannabis space, and Heineken-owned Lagunitas recently started selling both a beer and a sparkling water made with cannabis.