Canopy Growth (NYSE:CGC,TSX:WEED) is adding another international star to its lineup of celebrity partnerships.
On Thursday (November 7), the cannabis producer announced its newest partnership: Canadian hip hop artist Drake.
Drake, whose real name is Aubrey Drake Graham, and the Ontario-based cannabis firm are teaming up to launch the More Life Growth Company, a licensed cannabis producer joint venture based out of Toronto, Canada.
“The opportunity to partner with a world-class company like Canopy Growth on a global scale is really exciting,” Drake said in a statement. “The idea of being able to build something special in an industry that is ever growing has been inspiring.”
The deal locks Drake in as the majority shareholder of More Life with a 60 percent ownership interest in the venture, while Canopy Growth will hold the remaining stake.
The new venture, which is named in homage to a mixtape the rapper released in 2017, will allow Drake to sell recreational cannabis and cannabis accessories across Canada and abroad.
The More Life facility will be based in Canopy Growth’s existing site in Scarborough, Ontario, with the producer providing day-to-day operations and maintenance and holding the rights to distribute products produced at the facility.
Canopy Growth said the More Life brand will be focused on wellness with a global reach and more details about the joint venture will be shared in the coming weeks.
The firm added the “In My Feelings” singer’s long established career in music, television and fashion makes him well-positioned to take on the industry.
“Drake’s perspective as a culture leader and entrepreneur combined with Canopy Growth’s breadth of cannabis knowledge will allow our new company to bring an unmatched cannabis experience to global markets,” said Canopy Growth CEO Mark Zekulin in a statement.
Drake’s addition to Canopy Growth could help boost the company’s profile following losses of almost C$1.3 billion reported in its quarterly results for Q1 2020 and the firing of one of its founders, former company CEO Bruce Linton, in July.
An Instagram page for More Life has been set up and already boasts a following of over 15,000.
The new company comes with its own board of directors, for which Canopy Growth will nominate two executives.
Drake has given More Life Growth Company to right to “exclusively exploit certain intellectual property and brands” in association with the marketing and sale of products in and out of Canada.
Those international rights could expire after 18 months in the event More Life Growth doesn’t meet certain performance milestones. Within Canada, however, Canopy Growth has sub-licensed those rights and will be the exclusive distributor of all More Life products.
Drake comes as one in a growing roster of celebrity endorsements for Canopy Growth, which previously announced partnerships with fellow rapper Snoop Dogg, lifestyle guru Martha Stewart and comedian Seth Rogen.
There wasn’t much movement for Canopy Growth as the markets opened on Thursday. In Toronto, shares were down 1.5 percent to C$25.78 as of 10:09 a.m. EDT.
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Securities Disclosure: I, Danielle Edwards, hold no direct investment interest in any company mentioned in this article.
CanBud Distribution Corporation Closes 2M Second and Final Tranche of its Oversubscribed Private Placement Offering
CanBud Distribution Corporation (CSE: CBDX) (FSE: CD0) (“CanBud” or the “Corporation”) is pleased to announce that it has closed the final tranche of its oversubscribed non-brokered private placement for aggregate gross proceeds of approximately $4,730,000 (the “Offering”).
The Corporation issued a combined total of 39,409,346 units (each a “Unit“) at price of $0.12 per Unit, with each Unit comprised of one common share in the capital of the Corporation (each a “Common Share“) and one common share purchase warrant (each a “Warrant“). Each Warrant entitles the holder to purchase one additional Common Share at an exercise price of $0.22 within 24 months of the closing of the Offering (the “Warrant Term“), provided, however that if the closing price of the Common Shares on the Canadian Securities Exchange (the “CSE“) (or any such other stock exchange in Canada as the Common Shares may trade at the applicable time) is $0.25 or greater per Common Share for a period of five (5) consecutive trading days at any time after the closing date of the Offering, the Corporation may accelerate the Warrant Term such that the Warrants shall expire on the date which is 30 days following the date a press release is issued by the Corporation announcing the reduced warrant terms.
Thoughtful Brands Inc. (CSE:TBI)(FSE:1WZ1)(OTCQB:PEMTF) (the “Company” or “Thoughtful Brands) announces that the letter of intent with Franchise Cannabis Corp. (“FCC”), previously announced in January, has been terminated. The previously announced European joint venture with FCC will continue and allow the Company to launch and tailor its products to European consumer demands
In connection with termination of the merger transaction with FCC, the Company has agreed to pay FCC $100,000 in cash and to issue FCC 5,000,000 common shares of the Company at a deemed value of $0.05 per share. The common shares will be subject to a four-month-and-one-day statutory hold period in accordance with applicable securities laws.
Mergers and acquisitions (M&A) in cannabis space have helped boost the industry to new levels.
Strategic sale of non-core assets by Lobe adds non-dilutive capital and shareholder value
Lobe Sciences Ltd. (CSE: LOBE) (OTC Pink: GTSIF) (“Lobe” or the “Company”) is pleased to announce, further to its press release dated February 23, 2021, that it has completed the sale to Ionic Brands Corp. (“Ionic Brands”) of Lobe’s non-core cannabis assets relating to Washington-based Cowlitz County Cannabis Cultivation Inc. (“Cowlitz”) held by Lobe’s subsidiary vendor, Green Star Biosciences Inc. (the “Transaction”).
Seattle Area Grocery Chain Metropolitan Market to Begin Carrying KOIOS and Fit Soda on March 22, 2021
Adding to its existing presence on the west coast of the United States, all five KOIOS™ flavours and all four Fit Soda™ flavours will be carried in Metropolitan Market stores beginning on Monday, March 22, 2021. Serving the Seattle-Tacoma area (population 3.87 million), Metropolitan Market is one of five chains under its parent firm Good Food Holdings, which has a total of 51 stores in California, Oregon, and Washington State.
Koios Beverage Corp. (CSE: KBEV; OTC: KBEVF) (the “Company” or “Koios”) is pleased to announce that beginning on Monday, March 22, 2021, Koios’ entire line of canned beverage products will be sold at all locations of Metropolitan Market, an urban format supermarket chain in the Seattle-Tacoma area of Washington State. In Q1 2021, the Company announced multiple placements of its beverage products with regional grocers in markets on the west coast of the United States including Market of Choice in Oregon Jensen’s in Southern California and major natural grocery chain Sprouts Farmers Market which has a substantial west coast presence with over one third of its locations (360+ stores across 23 states) in California as well as Washington State 1 . The Company has also recently announced other developments relating to its expansion efforts being undertaken in 2021 such as an in-house beverage canning facility and distribution agreements with regional and national wholesale partners.