Canopy Growth Corp (WEED)

[Jake1990]

Canopy already owns 10.65% of AusCann as they participated in a PP at the start of 2018. With this new raise, Canopy is expected to chip in 5mil out of a total of 30-38mil which would slightly increase their % holdings to about 11-12% according to Mr.Napkin.

Elaine Darby (AusCann) is sister of Stewart Washer (Zelda) - at first I was concerned about the Washer family connections, but if it makes sense to Bruce than it makes sense to me.

https://theconstantinvestor.com/elaine-darby-auscann/

AK: Is there a formal relationship between AusCann and Zelda pharmaceuticals, apart from the fact that Stewart Washer is your brother?

ED: Yes, apart from the family relationship. Yeah, look, we’re really excited to be involved with Zelda. Essentially we’re a supplier for Zelda for their clinical trials. As I mentioned, AusCann, we’re not a clinical trial company. We are really pushing where we know there is good clinical data here and now, and we are just getting that product to the patient.

What Zelda is doing is really quite novel, in that they’re targeting those new, emerging, exciting areas where medicinal cannabis could be of an enormous benefit. So, essentially we’re a supply to those guys. We can create those particular formulations that they’re after, because we know how to grow the right strains. We have access to the best strains in the world. We have a wonderful Spanish partner to help us do that, Phytoplant. We have the manufacturing expertise. So, any kind of weird, wonderful formulation that those guys need for their trials, we will produce that for them and supply that to them.

AK: And there is no sort of significant cross-shareholding, is there?

ED: No, there is no crossover in shareholding…

AK: And the Washer family doesn’t seem to own a large stake in either company. As you said, the Canopy Growth company is the largest holder of AusCann.

ED: Yeah. So, Canopy is our biggest shareholder. We … certainly, my brother has the involvement with Zelda therapeutics. I’m not sure if he’s shareholding over there. Certainly, my father, who is the chairman of AusCann, Dr. Mal Washer, and AusCann was really his vision and why the whole company was created, you know, because it’s a medical background that he has. He saw this need. I mean, he is also, you know, a fairly good shareholder. So, the Washer family has a very strong interest in these companies to do extremely well. We have that drive and that vision for us to achieve.