Corona beer maker Constellation Brands will invest a further $4 billion in Canada’s top cannabis producer Canopy Growth, doubling down on one of a growing number of bets by the alcohol industry in legal pot. Roselle Chen reports.
But the latest announcement is by far the biggest investment in the industry.
Four point four (4.4) million people reported using weed in the first half of the year in Canada.
And the country will fully legalize the recreational use in October.
Analysts say that, by investing in weed production, Constellation and its rivals, Molson Coors and Anheuser-Busch, are trying to hedge their bets for the future as beer sales are stagnating, particularly among younger Americans.