Aurora Cannabis (ACB) Investor Settlement
Aurora Cannabis (ACB) has agreed to settle $8M with investors to resolve claims over hiding revenue decline in 2019.
In 2019, Aurora Cannabis was accused of overstating its revenue, growth prospects, and progress in its construction facilities. Following this, $ACB significantly fell, and Aurora Cannabis faced a lawsuit from investors.
On September 11, 2019: On their annual report Aurora Cannabis underlined significant revenue growth and ongoing expansion.
On November 14, 2019: Aurora announced its Q1 2020 results, which were lower than expected.
On November 15, 2019: Following this disclosure, $ACB fell by 17%.
On November 18, 2019: MarketWatch published an article criticising Aurora's management and $ACB fell further by 16%.
On November 21, 2019: Aurora Cannabis faced a lawsuit from investors regarding their overstatements on the company's financial health.
On September 11, 2019, Aurora Cannabis filed its annual report stating significant revenue growth, ongoing expansion, and a positive financial outlook. Also, the executives highlighted promising growth and financial prospects.
Despite these claims, on November 14, 2019, Aurora announced its Q1 2020 results, revealing a 25% decline in sales and a 33% drop in consumer cannabis revenue.
On November 14, 2019, Aurora Cannabis announced major changes to its plans. The company stopped building its two key facilities, Aurora Nordic 2 in Denmark and Aurora Sun in Canada. These sites were supposed to boost production. Aurora also said it would cut its spending by CAD $190M, showing a big shift in its growth plans.
After this news, $ACB dropped by 17% on November 15.
Following the initial decline, MarketWatch published an article criticising Aurora's management for a significant drop in revenue and halting construction on two facilities.
This article also caused $ACB to drop 16%.
On November 21, 2019, investors filed a lawsuit against Aurora and its executives, accusing them of misleading about the company's financial health and prospects.
Aurora Cannabis reached an agreement with $ACB investors to settle claims over hiding revenue decline in 2019.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Frequently Asked Questions
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
11thestate is an investor recovery company, we help investors to track and collect securities class action settlements. We will:
Prepare documents for your payout
Audit the claim and make sure you get the maximum possible payout
File a claim with the settlement administration
Correspond with the settlement administration to resolve emerging issues
Deliver payout directly to your brokerage account
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.