Canopy Growth (CGC) - Get Report fell up to 7% in premarket trading on news that co-CEO Bruce Linton would be departing from the Canadian cannabis company. Linton later told CNBC that he was terminated from the company, though, he noted that he wouldn't be selling his shares of Canopy.
Mark Zekulin, Canopy Growth's other co-CEO, will become sole CEO of the company, and will help in the search for a permanent CEO.
Linton was one of the founding fathers of Canopy and has been instrumental in shaping the company's direction.
Canopy is currently the largest publicly-traded cannabis company with a market cap of around $13.7 billion.
So where does Canopy head without Linton? TheStreet founder and Action Alerts PLUS portfolio manager Jim Cramer breaks it down:
"Look, Canopy is the proxy. Canopy, it has the word chest...Only Kronos has a similar war chest. Kronos is a very good company. And so what happens is if you have that kind of money, you're going to dominate. And he was, I mean, look, the revs were good, but he was spending way too much and Constellation's a very rigorous company. Constellation knows that beer, that wine was going away," explained Cramer.
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