September 4, 2019 / 3:11 PM / 2 months ago

BUZZ-Green Organic Dutchman: Slumps as Aurora sells shares at discount

(Updates)

** Shares of cannabis co down ~16% at C$2.95

** Aurora Cannabis sells entire stake in TGOD; sells ~28.8 mln shares or 10.5% of total outstanding shares of TGOD for C$3/shr, which was below co’s closing price of C$3.51 on Tuesday

** ACB no longer holds any shares in TGOD, but holds warrants to buy ~16.7 mln shares of the company

** TGOD says an investor rights agreement with ACB included a revenue sharing model which would have lowered TGOD’s average selling price and margins

** Jefferies analyst Ryan Tomkins called ACB’s move a “welcome cash boost for Aurora given a lack of financial backing vs larger peers”

** ACB shares, which initially rose as much as 2.2%, now down 1.3%

** Up to Tuesday’s close, TGOD stock had gained ~43% YTD, ACB’s Toronto-listed shares rose ~12% in the same period (Reporting by Debroop Roy in Bengaluru)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below