Canopy Growth Announces Sale of Stake in AusCann

The companies will continue to collaborate in the Australian market

SMITHS FALLS, ontario, Oct. 15, 2019 /CNW/ - Canopy Growth Corporation (TSX: WEED) (NYSE: CGC) ("Canopy Growth") has sold its 42,087,639 shares in Australian cannabis company AusCann Group Holdings (AusCann) via an off market block trade at $0.15 per share for gross proceeds of $6.3 million. The trade was facilitated by Canaccord Australia.

The sale represents Canopy Growth's total 13.2% interest in AusCann.

"Canopy Growth remains optimistic about the future of the Australian medical cannabis market and will continue to collaborate with the team at Auscann to support greater physician understanding and patient access to high quality cannabis products throughout Australia," said Mark Zekulin, CEO, Canopy Growth. "The decision to divest our position in AusCann, which we obtained three years ago in exchange for support provided, will allow us to sharpen our focus on our wholly-owned operations in the market, while continuing to collaborate with our partners at AusCann."

Dr. Marcel Bonn-Miller, Canopy Growth's Global Senior Director of Clinical Science, will continue to sit on the AusCann Board of Directors to facilitate future collaboration.

Here's to Future 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 Canopy Growth'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. Canopy Growth has operations in over a dozen countries across five continents.

Canopy Growth'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.