TSXV:ACB
VANCOUVER, Oct. 20, 2016 /CNW/ - Aurora Cannabis Inc. (the
"Company" or "Aurora") (TSXV: ACB) (OTCQB: ACBFF) (Frankfurt: 21P; WKN: A1C4WM) announced today
that the Company has elected to exercise its right under the
indenture (the "Indenture") governing the Company's 10.0% unsecured
convertible debentures due March 28,
2018 (the "Debentures") to convert (the "Conversion") all of
the principal amount outstanding of the Debentures and unpaid
accrued interest thereon up to November 23,
2016 into common shares of the Company (the "Common
Shares"). Pursuant to the terms of the Indenture, the Company may
force the conversion of the Debentures at the conversion price of
$1.15 per Common Share when the VWAP
of the Common Shares on the TSX Venture Exchange (the "Exchange")
for 10 consecutive trading days equals or exceeds $2.00.
As of close of markets October 20,
2016, the VWAP of the Common Shares on the Exchange for 10
consecutive trading days equals $2.15. The Conversion is scheduled to be
effective November 23, 2016.
Pursuant to the terms of the Indenture, the directors of the
Company have determined that, on the Conversion, holders of
Debentures will receive, for each $1,000 amount of Debentures and outstanding
interest thereon, 869.5652 Common Shares. Therefore, on
November 23, 2016, the estimated
remaining total of $5 million of
Debentures and interest thereon outstanding will be converted into
approximately 4,409,767 Common Shares. The remaining $10 million of Debentures were converted
effective October 18, 2016.
"We are very pleased to convert these Debentures, providing
Aurora with an additional $5 million
in permanent capital, further improving our balance sheet and our
industry-leading cash position," said Terry
Booth, CEO.
The Company has provided the holders of the Debentures 30 days
advance written notice of its intent to exercise the
Conversion.
About Aurora
Aurora's wholly-owned subsidiary, Aurora Cannabis Enterprises
Inc., is a licensed producer of medical cannabis pursuant to Health
Canada's Access to Cannabis for Medical Purposes Regulations
(ACMPR) and operates a 55,200 square foot, state-of-the-art
production facility in Mountain View County, Alberta, Canada. Aurora trades on the TSX
Venture Exchange under the symbol "ACB".
On behalf of the Board of Directors,
AURORA CANNABIS INC.
Terry Booth
CEO
This news release contains certain "forward-looking
statements" within the meaning of such statements under applicable
securities law. Forward-looking statements are frequently
characterized by words such as "plan", "continue", "expect",
"project", "intend", "believe", "anticipate", "estimate", "may",
"will", "potential", "proposed" and other similar words, or
statements that certain events or conditions "may" or "will" occur.
These statements are only predictions. Various assumptions were
used in drawing the conclusions or making the projections contained
in the forward-looking statements throughout this news release.
Forward-looking statements are based on the opinions and estimates
of management at the date the statements are made, and are subject
to a variety of risks and uncertainties and other factors that
could cause actual events or results to differ materially from
those projected in the forward-looking statements. The Company is
under no obligation, and expressly disclaims any intention or
obligation, to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise,
except as expressly required by applicable law.
The TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Aurora Cannabis Inc.