Diageo deal reports put cannabis stocks on high

Stocks in Canadian cannabis companies rose yesterday after reports surfaced that Diageo was considering a possible investment in the country’s industry.

Recreational use of marijuana will become legal in Canada in October. Other drinks companies have been interested in the industry, including Constellation Brands, which makes Corona beer.

This month, it announced a $3.8bn (£3bn) investment in cannabis grower Canopy Growth, the biggest deal so far in the recreational market.