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Investors are continuing to treat spirits company Constellation Brands Inc.’s big bet on the cannabis sector as a watershed moment, driving shares of many big players higher Monday.

The big beneficiary is Canopy Growth Corp., recipient of the US$4 billion investment from Constellation, announced Wednesday. While investors have punished Constellation, sending its shares down roughly 10 per cent on the news, Canopy gained roughly 10 per cent just in Monday’s trading and hit an all-time high of $49. Canopy has gained roughly 50 per cent since the news broke.

Canopy has now overtaken Bausch Health Cos. Inc., formerly known as Valeant Pharmaceuticals International Inc. and once the most valuable company in Canada, as the biggest health-care company on the Toronto Stock Exchange, as measured by market capitalization. It is not the only winner. Tilray Inc. jumped roughly 18 per cent to a record high US$36.23; it went public in July on the Nasdaq at a price of $17. Tilray has been aided by a report from short-seller Citron Research that the private equity-backed medical marijuana company could be “next in line” for a white knight after Canopy.

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Also on Monday, Aurora Cannabis Inc. and U.S.-listed shares of Cronos Group Inc. added about 14 per cent; Aphria Inc. and The Green Organic Dutchman Holdings Ltd. up 4 per cent to 6 per cent.

The Horizons Marijuana Life Sciences ETF added 7 per cent and the U.S.-listed ETFMG Alternative Harvest ETF rose about 6 per cent.

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