Constellation Brands increases the interest in the Canadian pot company

By Constellation Brands, Kristine Owram and Jen Skerritt

C $ 5 billion ($ 3.8 billion) is spent to raise the interest in Canadian cannabis grower Canopy Growth Corp. to increase. Betting legalization of the drug will still achieve traction in the US and the rest of the world.

Constellation, the brewer of Corona beer, increases its share in Canopy to 38 percent in what the companies described were the largest investment in the nascent marijuana industry to date, according to a Wednesday statement. The agreement, which could ultimately provide the check in liquor stores based in Victor, New York, follows a first purchase of about 10 percent of the past year. Canopy shares rose 33 percent to C $ 42.95 at 9:53 AM, giving it a market value of C $ 9.36 billion. Constellation fell by 7.2 percent to $ 205.79 in New York.

"This is rocket fuel," Chief Executive Officer of Canopy, Bruce Linton, said about the company's investment call on Wednesday. "We will be much more globally."

Alcoholic beverage makers want to keep the growing use of cannabis in the world in check if their traditional business slows down. Molson Coors Brewing Co. has started a joint venture with Hydropothecary Corp. to develop non-alcoholic, cannabis-infused drinks for the Canadian market. The traditional brewing label from Lagunitas has launched a brand specializing in non-alcoholic drinks with THC, the active ingredient in marijuana.

Canada will be the first G-7 country to legalize pot for recreational use on Oct. 17 States from California to Colorado have already allowed the drug to grow legally and medical cannabis growing worldwide.

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