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Canopy Growth Acquiring U.S. Cannabis Operator Acreage

The company has now acquired Jetty and two of the three Wana business units.

I Stock 1143359897

Correction: A previous version of this article incorrectly named Agrify in the headline.

Canopy Growth said it is exercising its option to acquire all of the issued and outstanding Class E subordinate voting shares of Acreage Holdings, which will become a wholly owned subsidiary of Canopy USA.

Canopy Growth also announced today that it exercised its option, in part, to acquire certain outstanding debt of Acreage. Closing of the acquisition of Acreage remains subject to all of the closing conditions.

Today's announcement comes roughly one month after Canopy Growth said it would exercise its option to acquire both Wana and Jetty.

"These are major steps forward and consistent with the strategy outlined by Canopy Growth to allow our shareholders to benefit from our ownership of non-voting shares in Canopy USA, and we're excited to see this advancing as more of Canopy USA's priority markets come online for adult use across the Midwest and Northeast," said David Klein, Chief Executive Officer of Canopy Growth, and member of the board of managers of Canopy USA. "With the acquisition of Jetty and two of the three Wana business units now complete, Canopy USA is demonstrating its executional capabilities, and we anticipate that these actions will drive growth and the realization of commercial synergies across Canopy USA's operational platform."

“This is a transformative moment which reflects the determination of our partners and team to deliver a clear path for growth and look forward to this next step in Acreage’s journey as part of the Canopy USA ecosystem,” said Acreage CEO Dennis Curran. “The debt restructuring and option exercise to commence Canopy USA’s acquisition of the Company, combined with our operational restructuring and our focus on reduced costs, should enable us to reach our potential and we are especially excited about Acreage’s opportunities in Ohio, Pennsylvania, New York, and New Jersey.”