(Reuters) – Canadian pot producer Canopy Growth Corp <WEED.TO> on Monday named Chairman David Klein as it its chief executive officer, firming up the control of major shareholder Constellation Brands Inc <STZ.N>.
Klein, who is also Constellation’s chief financial officer and was appointed Canopy chairman in October after the Corona beer maker racked up a big loss on its investment in the company, will take formal charge on Jan. 14.
Constellation Brands has invested over $4 billion in Canopy, making it one of the first major alcohol producers looking to cash in on the proposed legalization of recreational weed in several countries.
But Canada’s new brand of pot producers have all struggled to deliver in the first year of the legalization and shares in most have sunk since March.
Canopy Growth’s founder and co-CEO Bruce Linton said in July that he was fired, handing over the reins to co-CEO Mark Zekulin.
Zekulin will step down as CEO and from Canopy’s board, effective Dec. 20.
Separately, Constellation said on Monday Senior Vice President Garth Hankinson will take over Klein’s role at the company.
(Reporting by Shanti S Nair and Shariq Khan in Bengaluru; Editing by Anil D’Silva)
Add Comment