Aurora Cannabis (ACB) Canadian Case Over The Financial Issues
$ACB stockholder filed a claim vs. Aurora Cannabis for misleading about the consumer demand and progress on facilities.
On November 15, 2019, the news about the financial results caused $ACB to fall 18%, losing $43M+ in shareholder value.
Affected $ACB investors may join the claim to be notified about potential recovery.
Background:
In September 2019, Aurora claimed its earnings would improve due to higher sales, better margins, anticipating growth and stable demand.
In October 2019, Aurora claimed that construction at facilities aimed to capture more of the cannabis market was progressing well.
On November 14, 2019, Aurora released quarterly statements, where disclosed the following points:
Aurora faced distribution issues and closely monitored daily sales to retailers.
Aurora's adjusted EBITDA loss for 1Q was $39.7M, up from $26.6M in the previous quarter.
Construction of Aurora Nordic 2 in Denmark was halted, and completion of the Medicine Hat facility in Alberta was postponed.
After these news, $ACB fell by 18%.
Also, after news articles highlighted demand issues for Aurora's products, Aurora's Chief Corporate Officer, Cam Battley, resigned.