Evolving Cannabis Industry Potential and Constellation Investment Overview slide image

Evolving Cannabis Industry Potential and Constellation Investment Overview

How it Started CANOPY GROWTH Constellation Brands CORPORATION Oct-2017 Constellation makes initial investment in Canopy with acquisition of minority stake (~9.9% for C$245mm) Oct-2017 Constellation and Canopy enter into a commercialization agreement providing Constellation with exclusive rights to Cannabis based beverages Jun-2018 Canadian government passes Bill C-45, which will effectively legalize the recreational Cannabis market in Canada when rolled out in October Today Based on success of initial investment and conviction in the attractiveness of the industry, Constellation and Canopy continue expanding the partnership October 2017 June 2018 July 2018 August 2018 Oct-2017 to Today Extensive collaboration towards the development and commercial launch of non-alcoholic cannabis beverages Jun-2018 Canopy issues C$600mm of 4.25% convertible senior notes due 2023, with Constellation purchasing C$200mm Aug-2018 Constellation increases stake in Canopy to ~38%¹ for C$5bn US$4bn (plus additional warrants to increase stake above 50%)² Source: Company filings, Subscription agreement 1 Reflects fully diluted shares outstanding. 2 See Transaction Summary for details supporting pro forma ownership. | 4
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