SMITHS FALLS, Ontario, March 16 — Canopy Growth Corporation (“Canopy Growth” or the “Company”) (TSX: WEED) (Nasdaq: CGC) and MTL Cannabis Corp. (“MTL Cannabis” or “MTL”) (CSE: MTLC) (OTCQX: MTLNF) today announced the completion of the previously announced arrangement (the “Arrangement”), whereby, among other things, Canopy Growth has acquired all of the issued and outstanding common shares of MTL (the “MTL Shares”).
The combined company establishes Canada’s leading medical cannabis platform and strengthens Canopy Growth’s broader business through expanded premium flower supply, enhanced operating execution and ability to meet demand in regulated international medical markets, including Europe. Additionally, the integration of a profitable, cash-generating business supports the Company’s objective of achieving positive adjusted EBITDA during fiscal 2027.
“The acquisition of MTL is a defining step forward in strengthening Canopy Growth’s core Canadian business and advancing our path toward sustainable profitability,” said Luc Mongeau, Chief Executive Officer, Canopy Growth. “We have long admired MTL and their approach to cannabis and business, and together we are Canada’s leading medical cannabis company, complemented by a strong and accelerating adult-use platform within the country. Today, we are better positioned to deliver higher-quality products, operate more efficiently, and scale strategically to meet growing demand in international markets.”
“At the heart of this next chapter are our people. We’re thrilled to welcome MTL employees to Canopy Growth. Your talent and dedication make this company exceptional, and we’re excited to move forward together,” continued Mr. Mongeau.
“We’re proud to join Canopy Growth and begin this next phase as one team,” said Richard Clément, Co-Founder and former Chief Cultivation Officer, MTL Cannabis.
“MTL was built on disciplined operations and a relentless focus on quality. With Canopy Growth’s scale and reach, we can continue to bring high-quality product to more medical patients and adult-use consumers in Canada and internationally,” added Mike Perron, Chief Operating Officer, Canopy Growth, and former Chief Executive Officer, MTL Cannabis.
Effective upon closing of the Arrangement, key members of MTL have joined the Canopy Growth leadership team. The combined team, listed below, strengthens operational depth and positions the Company for consistent execution and scalable growth:
- Luc Mongeau, Chief Executive Officer
- Tom Stewart, Chief Financial Officer
- Christelle Gedeon, Chief Business Development & Corporate Affairs Officer
- Michael Perron, Chief Operating Officer
- Chrissy McHardy, Senior Vice President, Human Resources
- Andrew Bevan, Senior Vice President, Medical Sales
- Jürgen Bickel, Managing Director and Co-Founder of Storz & Bickel GMBH
In addition, MTL co-founders Richard Clément and Michel Clément will serve as strategic advisors to the Company, supporting integration and cultivation. With the transaction now complete, Canopy Growth has commenced integration of MTL’s cultivation and post-harvest operations into its supply chain.
Strategic Benefits
Strengthens leadership in Canadian medical cannabis and market share position
MTL’s patient network, Canada House clinics, and ABBA Medix online channel cement Canopy Growth in the #1 market share position by revenue1 and expands Canopy Growth’s ability serve patients nationwide.
Enhances flower supply for Canadian and international markets
Integrating MTL’s cultivation and post-harvest assets, strengthens access to consistent, high-quality flower to support demand in Canada and international medical markets, including Europe.
Deepens Québec presence and strengthens adult-use positioning
Expands Canopy Growth’s operational footprint in Québec, Canada’s second-largest cannabis market, through MTL’s cultivation facilities and portfolio of high-quality flower and hash products.
Improves competitive positioning across core adult-use categories
MTL’s strong brand portfolio and proven performance in upper-mainstream flower and pre-rolls supports broader distribution, improved shelf presence, and stronger execution across key provinces.
Accretive, cash-generating business enables earnings growth
MTL is a profitable, cash-generating business that operates with strong cost discipline. This transaction is expected to accelerate margin and establishes a path toward EBITDA improvement supporting the Company’s focus on sustainable profitability.
Strengthens operational capabilities through retention of key MTL leadership
Retention of MTL’s leadership, including Mike Perron as Chief Operating Officer, and Richard Clément and Michel Clément in strategic consulting roles, adds deep expertise in cultivation, genetics, and facility operations.
