David Klein, CFO of Constellation Brands and a three-time winner of Institutional Investor‘s “Best CFO” award, was appointed CEO of Canopy, taking over from the last remaining co-founder, acting CEO Mark Zekulin, who was installed after co-founder and CEO Bruce Linton was fired in the summer.
- Klein will move from New York City to Canopy headquarters in Smith’s Falls, Ontario. After Linton’s termination, some wondered whether the company would relocate.
- Analysts believe the move raises odds that Constellation will buy Canopy outright, particularly given the company’s focus on REC beverages. Bruce Linton predicted they could buy the company before selling the MED division in two years for “more than they paid for the whole thing.” Analysts believe Constellation is taking increasing control over Canopy.
- Linton and Zekulin both reported tensions in the company followed the Fortune 500 company taking control of Canopy’s board following its US$4 Billion investment in the company.
- At another point, Lamers noted, Klein said, “We have to pick through those capability sets [Bruce Linton developed for Canopy] and line up the biggest profit pools with the highest probability of success and focus in those areas.”
- After its share price fell below $1, CannTrust received notice from the New York Stock Exchange it was no longer in compliance.
- Firefighters put out a small fire at Organigram’s Moncton processing facility. No one was hurt and no product damaged.