Canopy Growth has finalised its acquisition of Wana, taking on 100% of the cannabis edibles company and its subsidiaries, Wana Wellness, The CIMA Group and Mountain High Products.
In its second major acquisition in less than six months, the Canadian cannabis giant has solidified its foothold in the US cannabis market.
Canopy’s US subsidiary announced the acquisition today, hoping that alongside its recent onboarding of Jetty and Acreage Holdings it can ‘realize significant financial benefits, including revenue growth and cost synergies across the Canopy USA ecosystem’.
The company’s relationship with Wana has expanded in recent years, having initially announced its plan to acquire the company in 2021, but this was predicated on the federal legalization of cannabis in the US, or when plant-touching companies could trade on major US stock exchanges.
At the time, as consideration for entering into the agreement, Canopy made an upfront cash payment of $297.5m to Wana, but this did not give the company any voting or economic interest in the company, meaning it essentially operated entirely independently.
In May of 2023, Canopy announced new agreements with Wana which granted it control of all distribution, marketing, and sales of industry Wana branded edible cannabis products in Canada.
Later that year, Wana’s products were made available through Spectrum Therapeutics, its medical cannabis division.
The final acquisition of Wana comes just months after Canopy acquired a 75% stake in Lemurian, Inc. (also known as Jetty) in June.
“With Wana now part of Canopy USA alongside Jetty, we are gaining momentum while reinforcing our commitment to building a diverse portfolio of industry-leading brands in the U.S. cannabis market,” said David Klein, CEO of Canopy Growth and a member of Canopy USA’s board of managers.
“This acquisition marks a significant milestone in Canopy USA’s strategy and unlocks new growth opportunities across state-legal markets and hemp-derived products throughout the U.S.”
Joe Hodas, President of Wana Brands, added: “This acquisition represents an exciting next step for Canopy USA, as we blend Wana’s expertise in innovative edibles with Jetty’s pioneering developments in vape and extract products.”
