Shares of several cannabis stocks, including Aurora Cannabis Inc (NASDAQ: ACB), Cronos Group Inc (NASDAQ: CRON), Sundial Growers Inc (NASDAQ: SNDL) and Tilray Inc (NASDAQ: TLRY), are trading higher in sympathy with Canopy Growth Corp (NASDAQ: CGC) after the company announced it created a U.S. holding company, Canopy USA, LLC.
What Else?
Canopy says the U.S. is projected to be an over $50 billion market opportunity, and this strategy aims to unlock the ability to capture share and return on investments made to date.
Through "stepping stone" transactions, Canopy says the company will be strategically repositioned to capitalize on the benefits of complete ownership and control of its U.S. THC portfolio of assets upon U.S. federal permissibility.
"As the growth of the U.S. cannabis market continues rapidly at the state level, this strategy enables us to take control of our own destiny and capitalize on the once-in-a-generation opportunity in the largest cannabis market in the world," said David Klein, Chief Executive Officer of Canopy Growth Corporation.
"We expect to unleash the full power of Canopy's scalable and ideally-positioned U.S. cannabis ecosystem to unlock potential expansion opportunities. This strategy and positioning are true differentiators, which we expect to enable our investors and brands to realize value in the near term while positioning Canopy for profitable growth and a fast start upon U.S. federal permissibility."
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