Drake Launches Cannabis Venture With Beleaguered Canopy Growth

By | November 7, 2019

More Life Growth Company joins the ranks of celebrity-driven cannabis partnerships with Canopy Growth, which has been in a protracted slump.

  • Drake, whose net worth Forbes estimated to be $ 150 million in 2019, teamed up with Canopy Growth, the world’s biggest cannabis company by market value.
  • The company is 60% owned by Drake, with Canopy holding the remaining 40%.
  • According to More Life’s trademark filing, the company wants to sell weed along with a host of medicinal herb products and potentially a full range of clothing.
  • Drake teased the announcement on his Instagram, posting a video with the caption simply reading “@morelife.” 
  • But Canopy has stumbled through 2019, having fired its founder in addition to suffering a 60% drop in its share value and having half a billion dollars in negative cash flow by August. 
  • Bloomberg reported that celebrity partnerships can drive brand recognition, but may not do much to bump up value for shareholders.

Crucial quote: “The idea of being able to build something special in an industry that is ever growing has been inspiring. More Life and More Blessing,” said Drake in a press release.

Key background: The who’s who of celebrities working with Canopy include Snoop Dogg and his best friend Martha Stewart, along with actor Seth Rogan. Rapper Jay-Z, actress Whoopi Goldberg and singer Melissa Etheridge also have cannabis ventures with other companies. Despite its famous partners, Canopy reported a C$ 1.3 billion loss in the quarter ending June 30. Both U.S.- and Canada-based marijuana companies are struggling in 2019, with share prices tumbling and mergers scrapped.

Tangent: More Life will be based in Toronto, Drake’s hometown.

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Topline: Drake’s More Life Growth Company joins the ranks of celebrity-driven cannabis partnerships with Canopy Growth, which has been in a protracted slump.

  • Drake, whose net worth Forbes estimated to be $ 150 million in 2019, teamed up with Canopy Growth, the world’s biggest cannabis company by market value.
  • The company is 60% owned by Drake, with Canopy holding the remaining 40%.
  • According to More Life’s trademark filing, the company wants to sell weed along with a host of medicinal herb products and potentially a full range of clothing.
  • Drake teased the announcement on his Instagram, posting a video with the caption simply reading “@morelife.” 
  • But Canopy has stumbled through 2019, having fired its founder in addition to suffering a 60% drop in its share value and having half a billion dollars in negative cash flow by August. 
  • Bloomberg reported that celebrity partnerships can drive brand recognition, but may not do much to bump up value for shareholders.

Crucial quote: “The idea of being able to build something special in an industry that is ever growing has been inspiring. More Life and More Blessing,” said Drake in a press release.

Key background: The who’s who of celebrities working with Canopy include Snoop Dogg and his best friend Martha Stewart, along with actor Seth Rogan. Rapper Jay-Z, actress Whoopi Goldberg and singer Melissa Etheridge also have cannabis ventures with other companies. Despite its famous partners, Canopy reported a C$ 1.3 billion loss in the quarter ending June 30. Both U.S.- and Canada-based marijuana companies are struggling in 2019, with share prices tumbling and mergers scrapped.

Tangent: More Life will be based in Toronto, Drake’s hometown.

Forbes – Healthcare