If you are a wine or beer enthusiast, you’re probably aware of Constellation Brands. A Fortune 500 company, Constellation is not only an international producer and marketer of alcoholic beverages, they are also known for their acquisitions of smaller wineries and breweries, starting with the world-famous Robert Mondavi winery (which helped put California wines on the global map). With over 100 brands in their portfolio, Constellation has become a major dominant force in the industry.

Now, Constellation Brands is setting its sights on the Cannabis industry. Similar to wines and spirits, it appears that their aim is to create a similar Mega-Empire in legalized Cannabis, starting with their $4 Billion investment in Canopy Growth.

 


Source: Investors Business Daily

 

Marijuana stocks rallied Wednesday after beer-and-wine giant Constellation Brands (STZ) said it planned to boost its stake in Canopy Growth (CGC) to 38% with a $4 billion infusion, marking what the companies said is the largest investment in the cannabis space.

 

But the deal also has implications that go far beyond the headline dollar figure. For one, it represents a deeper overlap with the alcohol and marijuana industries.

 

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