SMITHS FALLS, ON, May 9, 2016 /CNW/ - Canopy Growth Corporation ("Canopy Growth" or the "Company") (TSX.V: CGC), parent company of licensed producers Tweed Inc. (Tweed), Tweed Farms Inc. (Tweed Farms), and Bedrocan Canada Inc., is pleased to announce a partnership with AusCann Group Holdings Ltd. (AusCann), an early leader in the nascent Australian medical cannabis industry.
Through this partnership, Canopy Growth will offer its expertise in a number of areas including production, quality assurance and operations, and provide strategic advisory services to AusCann in exchange for an initial 15% ownership stake in the company, as well as further options. AusCann and Canopy Growth will also aim to work together in Australian and international markets in a preferential but non-exclusive arrangement.
"I'm very pleased to enter into this new international relationship, the first of its kind for a Canadian cannabis company," said Bruce Linton, Chairman & CEO, Canopy Growth. "As the Australian government begins to lay out a framework for legal medical cannabis, AusCann has the same opportunities and challenges that Tweed and its sister companies faced several years ago. We have confidence that the Australian medical cannabis market will grow similarly to Canada and we think the lessons we learned in our early days will prove invaluable to the team at AusCann."
Linton will join the AusCann Board of Directors alongside a world-class leadership team that combines experts from public health, policy makers, and medically focused entrepreneurs. Best practices established at Tweed and Tweed Farms will be shared with AusCann to produce clean, consistent products that Australians can trust.
"We chose to work with Canopy Growth because they've established themselves as leaders in the Canadian and global industry. We are excited to establish the same success here in Australia," said Elaine Darby, Managing Director, AusCann.
Medical cannabis laws are still being finalized in Australian Parliament, with final implementation expected late 2016 and product expected to go to market in 2017.
The agreement with AusCann remains subject to approval by the TSX Venture Exchange.
Here's to Future (Australian) Growth.
About Canopy Growth Corporation
Canopy Growth is Canada's first publicly traded medical marijuana company and the first geographically diversified producer with multiple licenses under the Marihuana for Medical Purposes Regulations. Through its wholly owned subsidiaries, Tweed, Tweed Farms, and Bedrocan Canada, the Company operates three state-of-the-art production facilities in Ontario and distributes marijuana across the country to Canadian patients managing a host of medical conditions. The Company is dedicated to educating healthcare practitioners, providing consistent access to high quality medication, conducting robust clinical research, and furthering the public's understanding of how marijuana is used for medical purposes. www.canopygrowth.com
Notice Regarding Forward Looking Statements
This news release contains forward-looking statements. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Canopy Growth Corporation, Tweed Inc., Tweed Farms Inc. or Bedrocan Canada Inc. to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. Examples of such statements include future operational and production capacity, the impact of enhanced infrastructure and production capabilities, and forecasted available product selection. The forward-looking statements included in this news release are made as of the date of this news release and Canopy Growth Corp. does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events or otherwise unless required by applicable securities legislation.
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SOURCE Canopy Growth Corporation
Image with caption: "Canopy Growth Corporation enters International Market with AusCann Partnership (CNW Group/Canopy Growth Corporation)". Image available at: http://photos.newswire.ca/images/download/20160509_C1398_PHOTO_EN_685047.jpg
For further information: Jordan Sinclair, Communications Manager, [email protected], 613-769-4196; Investor Contact: Tyler Burns, [email protected], 855-558-9333 ex 122; Director: Bruce Linton, Chairman and CEO, [email protected], 855-558-9333