XLY.TO
id: 876
Auxly (XLY) And FSD Pharma Project Settlement
CV-19-00617136-00CP
Case number11/12/2018
Class period Start02/06/2019
Class period End03/28/2024
Claim deadline- Auxly was accused of leaving out important details about a project with FSD Pharma.
- $XLY fell 4% and lost $40.08M of its market cap, damaging investors;
- Auxly agreed to pay CAD $4M to investors to resolve the claims.
Auxly was accused of leaving out important details about a project with FSD Pharma to build a large cannabis cultivation space in Ontario from its Q2 2018 report.
On this news, $XLY fell 4% and lost $40.08M of its market cap, damaging investors.
Initially, Auxly was to get almost half of the cannabis from FSD's Cobourg facility, along with a 220,000-square-foot cultivation space.
A dispute arose over contract breaches related to FSD's management and staffing obligations, and infrastructure concerns. In 2019, Auxly ended its joint venture with an FSD Pharma subsidiary in Ontario.
Any investor who purchased $XLY between November 2018 and February 2019 may be eligible for a payout.
Case Status
Disbursement
Alleged Offence
Mismanagement,
Misleading Statements,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.15
Plaintiffs
Daniel Relvas
Attorneys
Berger Montague (Canada) PC
Judge
Edward Morgan
Settlement agreement date
2023-11-14
Court hearing date
11/14/2023
Objection deadline
10/20/2023
Trades matching type
FIFO
+$4,000,000
Cash Settlement Amount