Aurora Cannabis Inc.
The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the District of New Jersey on behalf of those who acquired Aurora Cannabis Inc. (“Aurora” or the “Company”) (NYSE: ACB) securities during the period from September 11, 2019 through November 14, 2019 (the “Class Period”). Investors have until January 21, 2020 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
The lawsuit alleges that Aurora failed to disclose that: (i) Aurora’s revenue would decline in its first quarter of fiscal 2020 ended September 30, 2019; and (ii) the Company would halt construction on its Aurora Nordic 2 and Aurora Sun facilities.
On November 14, 2019, Aurora announced its first quarter of fiscal 2020 ended September 30, 2019 including a CA$23.8 million, or 25%, sequential decline of sales. In particular, Aurora’s consumer cannabis revenue fell by 33% sequentially “driven by constraints in the distribution networks.” Aurora also announced a CA$190 million reduction in capital expenditures including that it was halting construction on the Aurora Nordic 2 and Aurora Sun facilities as well as an early conversion window for CA$230 million in convertible debt. On this news, the price of Aurora shares fell $0.56, or 17.0%, to close at $2.73 per share on November 15, 2019.
On November 18, 2019, MarketWatch published an article reporting that, inter alia, “Jeffries analyst Owen Bennett noted that dilution from the debenture conversion could swing investor sentiment even more.” On this news, the price of Aurora shares fell $0.44, or 16.2%, to close at $2.28 per share on November 18, 2019.
If you acquired Aurora securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.