Mr. Bruce Linton reports

CANOPY GROWTH SOLIDIFIES NEW BRUNSWICK EXPANSION STRATEGY

Canopy Growth Corp. has acquired Spot Therapeutics Inc., an ACMPR (access to cannabis for medical purposes regulations) applicant based in Fredericton, N.B. Additionally, through an affiliated entity, the company has entered into a definitive agreement to complete the previously announced purchase of the industrial building and property where the company's Fredericton-based production and distribution platform is being established. These strategic acquisitions solidify Canopy Growth's commitment to expand operations into New Brunswick with a large-scale indoor production facility both quickly and cost-efficiently.

"New Brunswick has emerged as an excellent place to do business in the cannabis sector," said Bruce Linton, chairman and chief executive officer, Canopy Growth. "We will leverage our existing operational expertise and supplement what the team at Spot has already started so that we can get this facility up and running quickly, supporting local construction and trades to ensure we're making a meaningful contribution to the local economy."

The facility will operate under the Tweed brand and support the company's global operations with high-quality, large-scale cannabis production capabilities. The existing building and infrastructure are in excellent condition and include almost 40,000 square feet of dedicated production space. Once licensed, this initial footprint is anticipated to produce over 4,000 kilograms of dried cannabis annually. With the property appropriately zoned and suited for expansion to over 100,000 square feet, this location creates an ideal platform for future growth.

On behalf of Bird Holdings Ltd., the current owner of the facility, its president J.W. Bud Bird said: "We are pleased by the sale of our building and impressed with the major expansion initiatives that the new owner, Canopy Growth, has planned for the property. It is great to have an investment of such a magnitude coming to Fredericton's industrial park, and it should prove to be an important long-term source of jobs and economic activity for all of central New Brunswick."

Since originally announcing the intent to purchase the facility, Canopy Growth has been working diligently on amendments to the existing application to conform with the company's standardized infrastructure layout and operating procedures. Engineering plans and drawings have already been completed and construction on the facility should begin in October, 2017. The facility is anticipated to be ready for licensing and production before the end of 2017.

Brian Neill, chief executive officer of Spot, commented, "We have been working for years to bring this new industry to Fredericton, and are proud to be joining forces with Canopy Growth and Tweed as we continue our journey towards an ACMPR licence and the launch of a new cannabis platform in the Maritimes."

Under the terms of the transaction, shareholders of Spot will receive up to $2.25-million in total consideration, less adjustments for all liabilities of Spot as of the closing date and certain payments to be made by Spot between closing and the second tranche payment. At closing, and in satisfaction of the first tranche payment of $1-million, Canopy issued 111,669 common shares to the shareholders of Spot. The second tranche payment will be satisfied by the issuance of additional common shares, subject to completion of certain licensing and operational milestones. Closing of the acquisition of the industrial building and property in Fredericton is anticipated to close in early September.

On Aug. 25, 2017, Canopy Growth received conditional approval from the Toronto Stock Exchange for the issuance of common shares in connection with this transaction.

Here's to future (Maritime) growth.

About Canopy Growth Corp.

Canopy Growth is a world-leading diversified cannabis company, offering diverse brands and curated cannabis strain varieties in dried and oil extract forms. Through its wholly owned subsidiaries, Canopy Growth operates numerous state-of-the-art production facilities with over half a million square feet of indoor and greenhouse production capacity. Canopy Growth has established partnerships with leading sector names in Canada and abroad.

We seek Safe Harbor.