Canopy Growth Closes Agreements With Big Alcohol Distributors

Canopy Growth Closes Agreements With Big Alcohol DistributorsCanopy Growth Corp. (NYSE: CGC) (TSE: WEED) announced Tuesday a new distribution partnership with two major alcohol distributors: Reyes Beer Division and Manhattan Beer.The company will leverage these partnerships to bring its sports hydration brand, BioSteel, to U.S. consumers in a ready-to-drink format.Earlier this year, BioSteel signed NFL star Patrick Mahomes as an equity partner and endorser of the brand, along with other star athletes and fitness influencers. The goal is to build awareness and market share with health-minded U.S. consumers.Why It Matters This move shows how Canopy Growth can leverage the vast beverage distribution network of Constellation Brands (NYSE: STZ) to market its products.The global beverage leader owns 37% of Canopy Growth.Also interesting about this deal is the fact that it leverages beer distributors to bring energy drinks to consumers. This strategy has been successful for brands like Monster Beverage Corp. (NASDAQ: MNST) and Bang Energy."The benefits of the strategic relationship between BioSteel and Canopy Growth are clearly showcased with these milestone distribution partnerships," David Klein, CEO of Canopy Growth, said in an email to Benzinga. "By leveraging Constellation's vast distribution network within the beverage category, we are able to deliver BioSteel sport hydration beverages to consumers across the U.S."Courtesy imageSee more from Benzinga * Options Trades For This Crazy Market: Get Benzinga Options to Follow High-Conviction Trade Ideas * Far More Potent Than THC And CBD: Dr. Raphael Mechoulam Explains His Latest Discovery * GrowGeneration Enters Arizona Cannabis Market Via Hydroponics Depot Deal(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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