CGC stock is making gains today after Canopy Growth (TSX:WEED) (NYSE:CGC) announced the appointment of Judy Schmeling as Chair and Jim Sabia to the Board of Directors.
New Board Members Boost CGC Stock
Ms. Schmeling will take on the role of Chair of the Board of Directors, having previously sat on the board since November 2018 and as chair of the audit committee. she also currently sits on the Board of Directors of Canopy's biggest backer, Constellation Brands (NYSE:STZ), as well as Casey’s General Stores, both of which are Fortune 500 companies. Prior to this, Ms. Schmeling was the COO of digital retailer HSN Inc, and so brings valuable retail experience to Canopy as it prepares for the cannabis 2.0 market. CGC stock is currently trading for $32.21.
"During my time as a board member of Canopy Growth, I personally witnessed the unfolding of one of the most exciting market opportunities of our lifetime. I look forward to working with my fellow board members and the entire Canopy Growth leadership team to help guide the company to lead the global cannabis industry," said Ms. Schmeling in a statement, with CGC stock gaining nearly 2% following the news of the new appointments.
>> TRUL Stock Outperformed in 2019: What to Expect This Year?
Meanwhile, Mr. Sabia will join Canopy's board while maintaining his current roles as Executive Vice President and Chief Marketing Officer of Constellation Brands. Prior to joining Constellation in 2007, he held the position of Vice President of Marketing and Media at Molson Coors Brewing Company (NYSE:TAP). Mr. Sabia said that "there is no company better positioned in the emerging global cannabis market," and with CGC stock starting the year with gains of over 30%, it's hard to dispute.
Big Challenge Ahead?
The new appointments highlight the expanded influence that Constellation is placing on Canopy Growth following the appointment of David Klein as CEO, having previously held the position of CFO at Constellation. After investing over C$4 billion into the world's largest cannabis firm, which has posted losses around the C$450 million mark and led to sharp declines in CGC stock, Constellation faces a huge challenge in 2020.
Do you think it's up to the task?
Featured Image: Canva
