Canopy Growth Corporation (NYSE:CGC) (TSX:WEED) is arguably one of the most dominant cannabis companies in the industry to date. This morning, it announced yet another deal but its shares are trending downward on the NYSE.
Let’s take a closer look at Canopy’s latest movement and stock price.
Canopy Growth Corporation Expansion
Canopy Growth is a Canadian cannabis company headquartered in Smiths Falls, Ontario. Together with its subsidiaries, the company engages in the growth, possession, and sale of medical marijuana across Canada.
The company was formerly known as Tweed Marijuana Inc, but changed its name to Canopy Growth in September of 2015. Canopy offers its products under the Tweed, DNA Genetics, Spectrum Cannabis, Black Label, Leafs by Snoops, Foria, Bedocan Canada, and CraftGrow brand names.
This morning, the cannabis company announced that it has finalized a strategic extract supply agreement with MediPharm Labs Corp (TSXV:LABS). This new agreement is set for 18 months, and MediPharm will supply up to 900kg of cannabis extract to Canopy Growth and its subsidiaries.
“As the industry matures we are seeing exciting businesses like MediPharm establish specialized skill sets that will drive the industry forward. Extraction is now and will continue to be an opportunity to develop expertise and IP,” said Bruce Linton, Chairman and Co-CEO of Canopy Growth. “We continue to develop our own capacity in this area and are pleased to work with MediPharm, a leading team that has demonstrated it shares this vision.”
The announcement today shows the growth of the cannabis industry in Canada and the capability of both MediPharm and Canopy Growth to keep up with the demand of both the recreational and medical cannabis markets.
Canopy Growth Stock Movement
According to Yahoo Finance, CGC is currently trading at $33.32 a share, down -$0.68 (-2.00%). On the TSX, WEED is trading at $44.07 a share, down -$1.03 (-2.28%).
However, on the TSXV, MediPharm’s shares are trading at $1.51, up +$0.03 (+2.03%).
Featured Image: Depositphotos/© AlexBrylov