If you have been looking up the price of hexo stock recently, you may have noticed that the ticker symbol "HEXO" is no longer active on the Toronto Stock Exchange (TSX) or the NASDAQ. The short answer to what happened is that HEXO Corp. was acquired by Tilray Brands, Inc. (NASDAQ: TLRY) in June 2023. As a result of this merger, HEXO stock was officially delisted, and its legacy shareholders received Tilray common stock in exchange for their holdings.
This comprehensive guide will unpack the dramatic history of HEXO Corp, explain exactly what happened to its shares during the acquisition, detail where its valuable assets are now, and analyze how you can gain exposure to HEXO's brand portfolio in the current market landscape. Whether you are a former shareholder wondering about your portfolio or an investor looking for opportunities in the modern cannabis sector, here is everything you need to know about the trajectory of hexo stock.
The Rise and Fall of HEXO Corp: A Cannabis Pioneer's Journey
To understand why hexo stock ultimately vanished, it is necessary to look back at the dramatic trajectory of the company from its inception. HEXO Corp. was originally founded in 2013 as Hydropothecary Corporation by entrepreneurs Sébastien St-Louis and Adam Miron. Based in Gatineau, Quebec, the company initially focused on the medical cannabis niche, carving out a reputation for premium product offerings and a highly disciplined, low-cost cultivation strategy inside its state-of-the-art greenhouse facilities.
When Canada announced plans to federally legalize recreational adult-use cannabis in 2018, Hydropothecary rebranded itself as HEXO Corp. This pivot was accompanied by a public listing of hexo stock on the Toronto Stock Exchange (TSX) under the ticker "HEXO", followed by a highly anticipated debut on the NASDAQ. Investors rushed into the stock, fueled by the "Green Rush" mania that took over global equity markets. At its peak, HEXO boasted a multi-billion dollar market capitalization, making it one of the largest and most prominent players in the Canadian cannabis landscape.
HEXO’s early competitive edge lay in its geographical advantage in Quebec and a highly celebrated strategic partnership. In 2018, HEXO secured a massive, five-year supply agreement with the Société québécoise du cannabis (SQDC), Quebec’s provincial cannabis distributor. This deal positioned HEXO as the leading supplier in the province, guaranteeing a steady flow of revenue. Additionally, the company formed a joint venture with global beer giant Molson Coors to create Truss Beverage Co., aiming to lead the nascent market for non-alcoholic, cannabis-infused beverages.
However, as the Canadian market matured, structural issues began to surface. Saturated retail distribution, slow regulatory rollouts, high excise taxes, and a massive national oversupply of legal flower began to squeeze operating margins across the industry. Rather than cutting costs and focusing on organic cash flow, HEXO’s leadership team opted for aggressive, debt-fueled expansion to maintain its market share. This expansion strategy was executed through a series of expensive acquisitions:
- Newstrike Brands: Acquired in May 2019 for approximately CA$263 million in stock, bringing the Up Cannabis brand under HEXO's umbrella.
- Zenabis Global Inc.: Acquired in June 2021 for CA$235 million in an all-stock transaction. Zenabis added large-scale cultivation facilities, but it also brought a mountain of legacy liabilities.
- 48North Cannabis Corp.: Acquired in September 2021 in an all-stock deal valued at roughly CA$50 million, focused on health, wellness, and outdoor cultivation.
- Redecan: Acquired in August 2021 for a staggering CA$925 million, consisting of CA$400 million in cash and CA$525 million in HEXO common shares. Redecan was a highly profitable, privately held LP with a cult-like consumer following, but the massive purchase price severely strained HEXO’s balance sheet.
This aggressive rollup strategy quickly backfired. Instead of creating profitable synergies, the acquisitions saddled HEXO with excessive production capacity that the market could not absorb. Overproduction led to steep inventory writedowns and massive operating losses. Making matters worse, Zenabis Global—the subsidiary HEXO had purchased for CA$235 million—filed for bankruptcy protection in 2022, forcing HEXO to deconsolidate its assets and write off millions in goodwill.
By early 2023, HEXO’s balance sheet was deeply fractured. The company had accumulated more than CA$2 billion in losses since 2016, and hexo stock had plummeted from its peak of over $400 (adjusted for stock splits) to trading under a dollar, risking multiple delisting notices from the NASDAQ. The company was on the brink of insolvency, setting the stage for an ultimate buyout.
The Tilray Acquisition: What Happened to HEXO Stock?
HEXO's path to acquisition began not as a friendly merger, but as a debt restructuring maneuver. In April 2022, rival Canadian cannabis titan Tilray Brands stepped in to purchase a massive senior secured note issued by HEXO to High Trail Investments (HTI). This note had an outstanding principal balance of $173.7 million. Tilray acquired it for $155 million, representing a 10.8% discount.
This strategic debt purchase gave Tilray significant leverage over HEXO’s corporate future. The senior secured notes carried a conversion feature that allowed Tilray to convert the debt into HEXO common shares. Essentially, Tilray held the keys to HEXO's survival. Over the next year, the two companies established a strategic alliance to optimize operations and share production facilities, but HEXO’s financial losses continued to mount.
In April 2023, Tilray Brands officially announced a definitive agreement to acquire all outstanding common shares of HEXO Corp. This deal was structured as an all-stock transaction and is often referred to in financial media as a "takeunder." Unlike a traditional takeover where a premium is paid, a takeunder involves buying out a distressed company at a discount or a price close to its recent depressed trading averages.
The mechanics of the Tilray-HEXO acquisition were structured as follows:
- HEXO shareholders were entitled to receive 0.4352 of a Tilray common share (TLRY) in exchange for each HEXO share they held.
- The exchange ratio implied a purchase price of approximately US$1.25 per HEXO share, valuing the equity of the company at roughly US$56 million.
- The transaction required the approval of at least two-thirds of the votes cast by HEXO shareholders, which was granted during a special meeting in June 2023.
On June 22, 2023, Tilray Brands officially announced the successful completion of the acquisition. As a direct result, HEXO Corp. became a wholly owned subsidiary of Tilray Brands. On June 23, 2023, hexo stock was officially delisted from both the TSX and the NASDAQ, bringing an end to HEXO’s tenure as an independent publicly traded company.
For former retail investors holding hexo stock, their shares were automatically converted into Tilray (TLRY) shares within their brokerage accounts based on the 0.4352 exchange ratio. Fractional shares resulting from the math were settled in cash, or handled in accordance with the specific policies of the investor’s broker. If you held HEXO shares in a legacy account and have not checked them since 2023, you will now find TLRY shares in their place.
Can You Buy HEXO Stock Today? How to Invest in the Legacy Assets
Because HEXO Corp. is no longer a standalone public company, you cannot buy hexo stock under its original ticker symbol. Any financial tracking site or broker showing an active price for HEXO is displaying outdated or erroneous data.
However, if you are interested in investing in the legacy assets, brands, and market share that HEXO built over its decade-long existence, you can do so by investing in Tilray Brands, Inc. (NASDAQ: TLRY; TSX: TLRY). Since absorbing HEXO, Tilray has systematically integrated and leveraged HEXO’s key assets to build a diversified consumer packaged goods (CPG) powerhouse.
Here is how HEXO's legacy assets are integrated into Tilray's current operations in 2026:
1. Integration of Premium Brands
HEXO’s brand portfolio boasted incredibly high consumer loyalty, particularly the Redecan brand, which was famous for its Redees pre-rolls, and the Original Stash value brand. Tilray kept these brands active and integrated them directly into its broader Canadian adult-use portfolio. By combining HEXO's consumer-facing brands with Tilray’s existing lines (such as Good Supply, RIFF, Solei, and Broken Coast), Tilray has cemented its position as the undisputed market share leader in Canada's recreational cannabis sector.
2. Operational Synergies and Facility Consolidation
Prior to the merger, HEXO suffered from severe operational redundancies. Tilray’s management, led by CEO Irwin Simon, immediately enacted a cost-saving restructuring plan. They closed down several of HEXO's underutilized cultivation facilities and consolidated production into Tilray’s highly efficient, state-of-the-art facilities in Leamington and London, Ontario. This consolidation saved millions in annual operating costs, helping Tilray move closer to a healthier cash flow position.
3. The Truss Beverage Evolution
One of HEXO's crown jewels was its joint venture with Molson Coors, known as Truss Beverage Co. Following the HEXO acquisition, Tilray moved to take full control of this entity. In August 2023, Tilray acquired the remaining 57.5% equity ownership of Truss from Molson Coors Canada, bringing the popular line of cannabis beverages entirely under its own control. This acquisition gave Tilray a dominant, approximately 40% market share in the Canadian cannabis beverage category.
In a fascinating strategic twist in August 2024, Tilray sold the Truss Beverage brand and asset portfolio to private equity firm Entrepreneurial Equity Partners (E2P) for an undisclosed sum. This sale allowed Tilray to monetize the brand equity while continuing to leverage its own domestic manufacturing footprint to produce cannabinoid-infused drinks, optimizing capital allocation and returning cash to its balance sheet.
4. Tilray's Diversified 2026 Financial Position
By investing in Tilray to get exposure to the old hexo stock assets, you are buying into a highly diversified global lifestyle and CPG company. As of mid-2026, Tilray Brands has aggressively expanded beyond cannabis into the craft beer, spirits, and wellness sectors in the United States.
Tilray’s strategic acquisitions of iconic craft beer brands from Anheuser-Busch InBev and Molson Coors (such as Shock Top, Breckenridge Brewery, 10 Barrel Brewing, Blue Point, Terrapin, and Atwater Brewery) have made it the fifth-largest craft brewer in the United States. This diversification has insulated Tilray from the severe pricing pressures of the Canadian cannabis market.
In its Q3 Fiscal 2026 financial results, reported on April 1, 2026, Tilray delivered record quarterly net revenues of $207 million, representing an 11% organic increase year-over-year. Crucially, the company demonstrated a massive reduction in net losses, which shrank to $25.2 million from $793.5 million in the prior year's quarter. Backed by $264.8 million in cash and marketable securities, Tilray stands in a far more secure financial position than HEXO ever did as an independent entity.
Key Lessons for Cannabis Sector Investors
The trajectory of hexo stock serves as a vital cautionary tale and a valuable educational case study for anyone investing in volatile, emerging growth sectors. Here are the primary takeaways that every investor should keep in mind:
1. Dilution Destroys Long-Term Shareholder Value
During the peak of the cannabis boom, Canadian Licensed Producers (LPs) routinely issued millions of new shares to fund acquisitions, build gargantuan greenhouses, and maintain high cash reserves. HEXO was one of the worst offenders. The constant issuance of equity diluted early shareholders to an extreme degree. Even when HEXO managed to grow its revenue, the sheer volume of outstanding shares meant that earnings per share (EPS) remained deeply negative, and the stock price was perpetually dragged down. Investors must always monitor a company's outstanding share count and dilution rate.
2. A 'Roll-Up' Strategy Without Synergies Is Fatal
Acquiring competitors can be a fast route to market leadership, but only if the integrations are handled efficiently. HEXO’s acquisition of Zenabis Global is a classic example of a disastrous roll-up. HEXO paid CA$235 million in stock for Zenabis, only to see the subsidiary enter bankruptcy protection shortly thereafter. The acquisition added excessive debt and complex liabilities without providing proportional cash flow. Before celebrating a merger, investors must critically analyze whether the acquired assets will be accretive or dilutive to the parent company.
3. Regulatory Barriers Can Stifle Even the Best Brands
Many investors assumed that because Canada legalized cannabis federally, companies like HEXO would easily achieve massive profitability. However, they underestimated the impact of strict government regulations. Heavy federal excise taxes, tightly controlled retail distribution networks, and severe packaging and marketing restrictions made it incredibly difficult for LPs to build brand differentiation. High taxes ate into wholesale prices, leaving LPs with razor-thin margins. When analyzing legal cannabis markets, regulatory frameworks and tax structures are just as important as consumer demand.
4. Understand the LP vs. MSO Divide
For global investors, it is crucial to recognize the operational and legal differences between Canadian Licensed Producers (LPs) like Tilray and US Multi-State Operators (MSOs) like Green Thumb Industries or Curaleaf. Canadian LPs operate in a federally legal but smaller, highly saturated market, and they are prohibited from selling THC products across the US border due to federal prohibition. US MSOs, conversely, operate in state-by-state markets within the US, allowing them to capture higher margins and build massive regional scale, though they face severe tax penalties under IRC Section 280E. Investing in a Canadian LP is fundamentally a bet on international medical legalization and domestic CPG diversification, whereas investing in US MSOs is a direct play on US state-level recreational growth.
HEXO Stock FAQ (Frequently Asked Questions)
What is the current stock price of HEXO?
HEXO stock is no longer active and does not have a current stock price. The company was acquired by Tilray Brands, Inc. in June 2023, and its shares were subsequently delisted from the TSX and NASDAQ. To track the value of HEXO's legacy assets, you must look up the stock price of Tilray Brands (NASDAQ: TLRY).
What happened to my HEXO shares after the Tilray merger?
If you owned HEXO shares at the time of the merger in June 2023, your shares were automatically converted into Tilray common shares (TLRY) at an exchange ratio of 0.4352 TLRY shares for every 1 HEXO share you held. Any fractional shares were settled in cash.
Did HEXO Corp go bankrupt?
HEXO Corp. did not file for bankruptcy itself, but it was on the verge of severe financial distress before being acquired by Tilray Brands. However, its subsidiary, Zenabis Global Inc., which HEXO acquired in 2021, did file for bankruptcy protection in 2022.
What was HEXO's ticker symbol?
HEXO Corp traded under the ticker symbol "HEXO" on both the Toronto Stock Exchange (TSX) and the NASDAQ. The ticker is now retired.
Can I still exchange physical HEXO stock certificates?
Yes. If you possess physical stock certificates for HEXO Corp, you must contact Tilray's transfer agent (or your financial advisor) to submit the certificates and receive the equivalent Tilray (TLRY) shares and cash-in-lieu of fractional shares as outlined in the 2023 plan of arrangement.
Is Tilray Brands (TLRY) a good investment in 2026?
Tilray Brands represents a highly diversified play on the cannabis, beverage, and wellness markets. While the company has historically struggled with GAAP profitability due to intensive restructuring costs and sector headwinds, its record-breaking 2026 revenues and expansion into the U.S. craft beer sector make it a compelling, lower-risk alternative to pure-play Canadian cannabis stocks. However, it remains a highly volatile investment that depends heavily on regulatory changes such as U.S. federal rescheduling.
Conclusion
The story of hexo stock is a classic tale of the highs and lows of the cannabis "Green Rush." What began as a highly promising, premium Quebec-based medical grower grew into a multi-billion dollar market darling, only to be crushed under the weight of excessive debt, hyper-dilutive acquisitions, and tough regulatory hurdles.
While the independent ticker is a thing of the past, HEXO’s legacy lives on. Through Tilray’s strategic acquisition, the premium brands that consumers loved—like Redecan—continue to thrive under a diversified global corporate umbrella. For investors, the history of HEXO offers timeless lessons on the dangers of over-leveraged roll-ups and the vital importance of capital preservation. If you want to invest in HEXO's legacy today, your path forward is clear: Tilray Brands (TLRY) is the vehicle carrying those assets into the future of the global cannabis and beverage market.
