Sands said in a statement that Newlands “understands what it takes to succeed in this rapidly evolving market and he’s the right person to lead our company going forward.”
Sands will succeed his brother, Richard, who will become executive vice chair.
Rob Sands told the Journal that, as executive chairman, he will stay involved with the company, overseeing Constellation’s $4 billion investment in Canopy Growth, the first publicly traded cannabis company in North America.
Sands has been at Constellation since 1986. His brother, Richard, also previously served as Constellation CEO.
Rob Sands told the Journal, “It’s good to get some fresh thinking.”
Shares of Constellation initially slipped about 1 percent in after-hours trade, but were last seen trading more than 1.6 percent higher.