Canopy Growth acquires Beckley Canopy Therapeutics, a research firm that will develop its products

Canadian company Canopy Growth has fully acquired Beckley Canopy Therapeutics, a research firm it co-founded in 2018. The deal will also see Canopy acquire Spectrum Biomedical UK, a joint venture formed in January between Canopy and Beckley, which will distribute the company's products.

Beckley Canopy Therapeutics has been described by Canopy Growth as an entity designed «to research and develop cannabis-based medicines clinically validated, with particular emphasis on the protection of intellectual property». Canopy has indicated that Beckley's research program will be merged with Canopy's, and the project will focus primarily on cancer pain and smoking cessation.

This purchase is part of a Canopy expansion plan. Recently, the company has been concentrating on developing its portfolio in the field of medical cannabis. As part of this strategy, in May it acquired the German group C3, a producer and distributor of cannabinoid-based medicines for the European market. Canopy Growth aims to expand beyond the Atlantic Ocean. Europe, in particular, is a booming market, as many countries have legalized medical cannabis, including Germany or Denmark, and some, like Luxembourg are preparing to legalize recreational cannabis.

The company is also in need of renewal, following the departure in early July of Bruce Linton, its long-standing founder. which had been put on the door due to the company's poor results, despite a very substantial investment of $4 billion from Constellation Brands.

Canopy Growth has not yet disclosed the terms or price of its acquisition. The purchase of the portion of Beckley Canopy Therapeutics not already owned by Canopy Growth is subject to regulatory approval. The acquisition is expected to close within the next 60 days.