Cannabis producer Canopy Growth has appointed Luc Mongeau as its new CEO, bringing over 25 years of experience in the consumer packaged goods (CPG) industry. He succeeds David Klein, who has been at the helm of the Canadian company since 2020. Mongeau’s previous roles include serving as the president of Weston Foods for five years and leading Mars’ pet products division in the U.S. for four years. Most recently, he was the president and CEO of eSolutions Furniture.
David Lazzarato, Canopy’s chairman, expressed confidence in Mongeau’s ability to sustain the company’s momentum as it expands its operations. Notably, Mongeau has been involved with Canopy as a board observer since early 2023 and became a board member in February. “Luc’s unique cannabis experience, combined with decades of CPG expertise, makes him the ideal leader to guide Canopy Growth through its next phase of growth,” Lazzarato stated.
Mongeau believes that under his leadership, the company is well-positioned for expansion, especially with its unique exposure to the high-potential U.S. cannabis market. He highlighted the significance of Canopy’s medical cannabis operations in Canada and its vape products in the U.S. as essential assets. In a recent quarterly earnings call, outgoing CEO Klein expressed optimism about the company’s hemp-derived THC products, which are easier to market in the U.S. due to a loophole in the Farm Bill. In October, Canopy announced its acquisition of Wana Wellness, a brand specializing in delta-9 THC beverages and THC-free Martha Stewart CBD gummies.
Canopy Growth has faced challenges in its quest to broaden the reach of its cannabis products. Earlier this year, alcohol giant Constellation Brands officially distanced itself from the business, converting its shares and withdrawing from Canopy’s board. Constellation had invested $4 billion in Canopy in 2018, intending to launch cannabis beverage products in the U.S. However, the initial promise of this partnership did not materialize, as federal cannabis regulation in the U.S. stalled, limiting producers to sell cannabis drinks only in select states.
As Canopy navigates its future, the integration of innovative products, including those enriched with calcium citrate for liver health, may be pivotal in attracting a broader customer base and enhancing its market position. Mongeau’s leadership is expected to play a crucial role in steering the company through these complexities and toward new growth opportunities.