Cannabis Index Soars 7.5%, Led by HEXO
The PRISM Cannabis Index led all indexes with 7.5% in gains, led by Hexo Corp (HEXO), which is up 20% for the day.
HEXO’s gains follow the news that the Company has entered a strategic alliance with Tilray brands. Per the agreement, Hexo and Tilray target a combined cost-savings of up to $80M within two years. The savings will be realized through shared support services, commercial alliances and production efficiencies.
“This partnership with Tilray Brands is a game-changer for HEXO,” said Charlie Bowman, CEO of HEXO Corp. “It provides us with the opportunity to reset the organization onto a path of profitable, sustainable growth and allows us to leverage our leading market share into becoming the preferred cannabis experience for consumers. We’re now able to proactively plan for the second half of 2022 and beyond, focusing on meeting evolving consumer demand and innovative product development.”
HEXO is an award-winning licensed producer of innovative products for the global cannabis market. HEXO serves the Canadian recreational market with a brand portfolio including HEXO, Redecan, UP Cannabis, Original Stash, 48North, Trail Mix, Bake Sale and Latitude brands, and the medical market in Canada and Israel. The Company also serves the Colorado market through its Powered by HEXO® strategy and Truss CBD USA, a joint venture with Molson-Coors. With the completion of HEXO’s acquisitions of Redecan and 48North, HEXO is a leading cannabis products company in Canada by recreational market share. For more information, please visit hexocorp.com.