Canopy Growth Corporation (TSX:WEED) (NASDAQ:CGC) announced on Tuesday that its board of directors has named Luc Mongeau as the company's next chief executive officer, effective Jan. 6, 2025.
Mongeau, a CPG veteran and board member at the Canadian cannabis giant, succeeds CEO David Klein, who announced his plans to retire in August.
Klein, who joined Canopy Growth in January 2020, led the Ontario-based company through transformation and development to meet opportunities within the global cannabis market.
“Under his leadership, the company established a foundation for multi-market cannabis leadership through its transformation to an asset-light model in Canada and across a range of international markets, including Germany,” the company said in a press release. “In addition, Mr. Klein oversaw the launch and advancement of Canopy USA as a first-of-its-kind structure to offer the Company's shareholders unique exposure to the rapid growth and opportunity presented by the U.S. cannabis market ahead of federal permissibility.”
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New CEO
Mongeau, who has over 25 years’ experience as a senior executive, has most recently served as the CEO of North America’s e-commerce provider for residential and commercial furniture ESolutions Furniture, formerly Bestar-Bush. He previously held the role of president for Weston Foods as well as president of Mars Petcare North America.
Mongeau joined Canopy as an observer in early 2023 and as a board member in Feb. 2024.
The new appointment comes simultaneously with the company's influence extending in the U.S. via Canopy USA, LLC.
The new U.S.-domiciled holding company first introduced in 2022, represents Canopy Growth's strategy for capturing the U.S. cannabis market. The business strategy, which included acquisitions of Wana Brands and Jetty, as well as holding a minority stake in TerrAscend Corp. (TSX:TSND) (OTCQX:TSNDF), also includes the acquisition of Acreage Holdings, Inc. (CSE:ACRG, ACRG.B.U)) (OTCQX:ACRHF, ACRDF)) which is expected to close in early 2025, according to Canopy.
What's Next
Mongeau will continue serving as a member of the board in his new role as CEO.
To support an efficient transition, Klein will continue in his role as CEO and a director on the board until the effective date of Mongeau’s appointment as CEO.
On Jan. 6, 2025, Klein will step down as a member of the board and will shift into a special advisor role until Aug. 31, 2025.
“I am honored to lead Canopy Growth into this exciting next chapter, and I am confident that our vision, dedication to our consumers, and the commitment of our team members will continue to position us for long-term success and value creation,” Mongeau said.
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CGC Price Action
Canopy Growth's shares traded 0.2120% lower at $4.1412 per share during the pre-market session on Tuesday morning.
