Canopy Growth exits cannabis cultivation on three continents in major international pullback
Canopy expects to take a financial hit of up to CA$800 million in the fourth quarter
Thursday, April 16, 2020
Canopy Growth is ceasing cannabis cultivation in Africa, Canada, Colombia and the United States in a bid to “improve efficiencies” in its global operations. The company also said it is eliminating 85 full-time positions. Almost half the workforce reduction is coming from the company’s Colombian operations. The downsizing does not affect Europe. Canopy’s pullback comes after Canadian producers raked up collective net losses exceeding 6 billion Canadian dollars ($4.5 billion) in 2019, the first calendar year recreational cannabis products were allowed to be sold in Canada. Many companies, including Canopy and competitor Aurora Cannabis, invested heavily in far-flung areas of the world, where actual medical marijuana markets remain years – maybe decades – away.
