Canopy Growth Corp.’s
CGC,
U.S.-listed stock fell 1% after the company said it agreed to sell its Hershey Drive facility in Smiths Falls, Ontario to Hershey Co.
HSY,
for C$53 million ($39.3 million). The company will still own its post-harvest manufacturing facility in Smiths Falls. Canopy Growth CEO David Klein said the move is part of the company’s “asset-light” effort to contain costs. Hershey’s chief supply chain officer Jason Reiman said the purchase “is another example of the strategic investments we’re making in our supply chain network…to support growth.” The site was originally Hershey’s first plant outside the U.S. and served as its Canadian headquarters. Hershey stock rose fractionally in premarket trades.
