US Company Curaleaf Plots $272 Million Hostile Takeover of Aurora Cannabis

Cannabis Culture
Thu, Aug 13
Key Points
  • Curaleaf Holdings plans a hostile takeover bid for Aurora Cannabis, offering $4 per share in a mix of Curaleaf stock and $0.75 cash.
  • Aurora’s leadership declined to discuss a deal, prompting Curaleaf to appeal directly to Aurora shareholders for approval.
  • The total proposed acquisition value is $272 million, with Aurora's stock price rising 22% to $3.48 and Curaleaf's stock reaching $9.93 following the announcement.
  • The combined company would operate in 17 countries, generating over $1.5 billion in annual revenue and nearly $350 million in adjusted earnings.

The company intends to launch a takeover bid for all outstanding Aurora shares, offering $4 per share in a mix of Curaleaf stock & cash.

U.S.-based marijuana multistate operator Curaleaf Holdings wants to buy out Canadian licensed producer Aurora Cannabis.

And after Aurora’s leadership declined to discuss a deal, Curaleaf will pitch Aurora’s shareholders on approving the hostile takeover, Curaleaf said in a press release Tuesday.

Curaleaf said it intends to launch a takeover bid for all outstanding Aurora shares, offering $4 per share in a mix of Curaleaf stock and $0.75 cash per sale, according to a news release the company issued Tuesday.

The total outlay for Curaleaf would be $272 million, according to the Wall Street Journal. Shares in Aurora stock, which trade on Nasdaq, jumped 22% Tuesday to $3.48. Curaleaf stock jumped to $9.93.

“This deal changes the game for both sets of shareholders,” Curaleaf CEO Boris Jordan wrote in a post on X.

“Aurora shareholders receive a significant premium and immediate value. Curaleaf shareholders gain a business that is immediately accretive and strategically complementary to what we have built internationally.”

The combined company would operate in 17 countries, with more than $1.5 billion in trailing 12-month revenue and nearly $350 million in adjusted earnings, Curaleaf said.

Read the full story at MJBizDaily