Canopy Growth CEO to Retire at End of Company’s Fiscal Year

SMITHS FALLS, Ontario, Aug. 16, 2024 – PRESS RELEASE – Canopy Growth Corp., a world-leading cannabis company dedicated to unleashing the power of cannabis to improve lives, announced that CEO David Klein will be retiring at the conclusion of the company's current fiscal year ending March 31, 2025.

Until this date or such time that a successor is named, Klein will continue in his role as CEO and as a member of the company’s board of directors to advance Canopy Growth’s strategic objectives including profitability and ensure an effective transition.

The board is in the process of securing a globally recognized search firm to initiate a comprehensive CEO selection process focused on identifying a candidate with the right mix of skills, experience and expertise to lead the company in its next chapter of growth.

Since joining Canopy Growth as CEO in January 2020, Klein successfully led the transformation and development of Canopy Growth to meet the vast opportunities presented by the global cannabis market. Under his leadership, the company established a foundation for multimarket cannabis leadership through its transformation to an asset-light model in Canada and across a range of international markets, including Germany. In addition, 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.

This announcement follows the company's first quarter fiscal year 2025 results, which were issued on Aug. 9 and highlight the progress that has been made in enhancing Canopy Growth's financial foundation. This includes realizing a 67% increase in gross profit year-over-year, delivering a consolidated gross margin of 35%, and driving a broad-based improvement across key financial metrics.

"Over the past four years, we have transformed Canopy Growth into a focused, asset-light and financially disciplined organization that is well-positioned for sustainable growth,” Klein said. “It has been an honor to lead Canopy Growth through this critical chapter in our evolution, and I am deeply thankful to all our team members for their dedication, and to our shareholders for their support.

"As we look to the next six months and beyond, I remain focused on driving Canopy Growth to profitability while supporting the smooth onboarding of a new CEO to lead the company forward in its next phase of growth. My experience at Canopy Growth has only deepened my belief in the power of cannabis to improve lives, and I am confident in the ability of our company and team to continue bringing that vision to life."

“On behalf of the board, I want to express our gratitude to David for his exceptional leadership and commitment to Canopy Growth,” Chairman David Lazzarato said. “David has been instrumental in navigating the company through a major transformation, establishing Canopy USA, and positioning us as a stronger, more focused organization poised for leadership across the most exciting global cannabis markets. The board remains confident in the company's strategic direction as well as its leadership team, and we are committed to appointing a new CEO who will continue to drive our ambitious vision forward, ensuring that the company remains at the forefront of cannabis innovation and growth.”