Canopy Growth Corp (NASDAQ:CGC) shares are trading lower Thursday after the company announced it entered into exchange agreements with holders of approximately $198 million of convertible notes.
Constellation Brands Inc (NYSE:STZ) is participating in the transaction through its subsidiary Greenstar Canada. The company will acquire a minimum of 21,929,914 Canopy shares, up to 30,701,880 shares pursuant to the exchange agreement.
Piper Sandler analyst Michael Lavery maintained Canopy Growth with an Underweight rating and lowered the price target from $4 to $3.
Canopy Growth is a diversified cannabis and cannabinoid-based consumer product company.
CGC Price Action: Canopy Growth has traded between $25.38 and $3.24 over a 52-week period.
The stock was down 21.7% at $2.74 at press time.
Photo: Herbal Hemp from Pixabay.
