Company: CGC
Filing Date: 2025-05-29
Form Type: POSASR
Source: 0001104659-25-054285
Chunk: 46

Company: Canopy Growth Corp
Filing Date: 2025-05-29
Form: POSASR
Chunk 46
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 Common Shares on the Nasdaq Global Select Market has ranged from a high of $10.11 to a low of $0.83. These fluctuations may arise from general stock market and economic conditions; conditions relating to the cannabis sector; our compliance with applicable U.S. federal cannabis laws, as well as the Nasdaq Stock Market LLC (“Nasdaq”), TSX, SEC and Ontario Securities Commission rules and regulations; or a change in opinion in the market regarding our business prospects and financial performance, and other risk factors described, or incorporated by reference, in this prospectus supplement, any of which may have a material adverse effect on our results of operations and financial position.

We will have broad discretion as to the use of the proceeds from this offering and the Concurrent Canadian Offering and may not use the proceeds effectively.

We currently intend to use the net proceeds from the sale of our Common Shares offered by this prospectus supplement, together with the net proceeds of the Concurrent Canadian Offering, for investments in businesses and/or to fund any potential future acquisitions and for working capital and general corporate purposes, which may include the repayment of indebtedness. As of the date of this prospectus supplement, and except as described herein, we cannot specify with certainty all of the particular uses for the net proceeds to us from this offering and the Concurrent Canadian Offering. Other than as described herein, and as further described in the section of this prospectus supplement entitled “Use of Proceeds”, our management will have broad discretion as to the application of the net proceeds from this offering and the Concurrent Canadian Offering. The failure by our management to apply these funds effectively could harm our business, financial condition and results of operations.

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There can be no assurance that we will not become a passive foreign investment company for U.S. federal income tax purposes, which could result in adverse U.S. federal income tax consequences to U.S. investors.

A non-U.S. corporation, such as our Company, will be classified as a “passive foreign investment company” (“PFIC”) for U.S. federal income tax purposes for any tax year, in which (a) 75% or more of its gross income for such tax year is passive income or (b) 50% or more of its gross assets by value either produce passive income or are held for the production of passive income, based on the quarterly average of the fair market value of such assets. We believe that we were not a PFIC for our most