Canopy Growth Corporation

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Joining the case through the Portnoy Law website enables investors to learn about their legal claims and take an active role in recovering their losses.

The Portnoy Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.

Portnoy Law Firm
Lesley F. Portnoy, Esq.,
Office: 310.692.8883
1800 Century Park East, Suite 600
Los Angeles, CA 90067

Canopy Growth is under investigation for potentially issuing false or misleading statements and failing to disclose important information to investors. On May 10, 2023, the company announced through a Form 8-K that it had initiated an internal review called the “BioSteel Review.” The review was prompted by certain sales trends identified by the management of the BioSteel Sports Nutrition Inc. business unit. The company, with the involvement of independent external counsel and forensic accountants, conducted the review under the oversight of the Audit Committee of the Board of Directors. Preliminary findings revealed material misstatements in the previously reported financial statements, specifically related to sales in the BioSteel business unit. As a result, Canopy Growth concluded that its audited consolidated financial statements for the fiscal year ended March 31, 2022 (included in the 2022 10-K), and its unaudited consolidated financial statements for the quarterly periods ended June 30, 2022, September 30, 2022, and December 31, 2022 (included in the Form 10-Qs), should no longer be relied upon. Additionally, the reports of the company’s independent registered public accounting firm included in the 2022 10-K should no longer be relied upon either. The announcement caused Canopy Growth’s shares to drop by 14.75% on the following day.