diff --git a/e2e/tests-dfx/cycles-ledger.bash b/e2e/tests-dfx/cycles-ledger.bash
index 481923ec32..7c20cbf057 100644
--- a/e2e/tests-dfx/cycles-ledger.bash
+++ b/e2e/tests-dfx/cycles-ledger.bash
@@ -25,7 +25,7 @@ teardown() {
 start_and_install_nns() {
   dfx_start_for_nns_install
 
-  dfx extension install nns --version 0.4.3
+  dfx extension install nns --version 0.4.7
   dfx nns install --ledger-accounts "$(dfx ledger account-id --identity cycle-giver)"
 }
 
diff --git a/e2e/tests-dfx/extension.bash b/e2e/tests-dfx/extension.bash
index 0b56c07240..7aa52b2122 100644
--- a/e2e/tests-dfx/extension.bash
+++ b/e2e/tests-dfx/extension.bash
@@ -14,6 +14,54 @@ teardown() {
   standard_teardown
 }
 
+@test "run an extension command with a canister type defined by another extension" {
+  install_shared_asset subnet_type/shared_network_settings/system
+  dfx_start_for_nns_install
+
+  install_asset wasm/identity
+  CACHE_DIR=$(dfx cache show)
+  mkdir -p "$CACHE_DIR"/extensions/embera
+  cat > "$CACHE_DIR"/extensions/embera/extension.json <<EOF
+  {
+      "name": "embera",
+      "version": "0.1.0",
+      "homepage": "https://github.com/dfinity/dfx-extensions",
+      "authors": "DFINITY",
+      "summary": "Test extension for e2e purposes.",
+      "categories": [],
+      "keywords": [],
+      "canister_type": {
+       "evaluation_order": [ "wasm" ],
+       "defaults": {
+         "type": "custom",
+         "build": [
+           "echo the embera build step for canister {{canister_name}} with candid {{canister.candid}} and main file {{canister.main}} and gzip is {{canister.gzip}}",
+           "mkdir -p .embera/{{canister_name}}",
+           "cp main.wasm {{canister.wasm}}"
+         ],
+         "gzip": true,
+         "wasm": ".embera/{{canister_name}}/{{canister_name}}.wasm"
+       }
+      }
+  }
+EOF
+  cat > dfx.json <<EOF
+  {
+    "canisters": {
+      "c1": {
+        "type": "embera",
+        "candid": "main.did",
+        "main": "main-file.embera"
+      }
+    }
+  }
+EOF
+
+  dfx extension install nns --version 0.4.7
+  dfx nns install
+}
+
+
 @test "extension canister type" {
   dfx_start
 
@@ -187,14 +235,14 @@ install_extension_from_dfx_extensions_repo() {
   assert_command dfx extension list
   assert_match 'No extensions installed'
 
-  assert_command dfx extension install "$EXTENSION" --install-as snsx --version 0.2.1
-  assert_contains "Extension 'sns' version 0.2.1 installed successfully, and is available as 'snsx'"
+  assert_command dfx extension install "$EXTENSION" --install-as snsx --version 0.4.7
+  assert_contains "Extension 'sns' version 0.4.7 installed successfully, and is available as 'snsx'"
 
   assert_command dfx extension list
   assert_match 'snsx'
 
   assert_command dfx --help
-  assert_match 'snsx.*Toolkit for'
+  assert_match 'snsx.*Initialize, deploy and interact with an SNS'
 
   assert_command dfx snsx --help