Acquiring 19.9% Stake in Cann Group
Limited
Australia's
First Medical Cannabis Licensed Producer
TSXV: ACB
VANCOUVER, March 28, 2017 /CNW/ - Aurora Cannabis Inc. (the
"Company" or "Aurora") (TSXV: ACB) (OTCQB: ACBFF) (Frankfurt: 21P; WKN: A1C4WM) is pleased to
announce that it has committed to taking part in the initial public
offering ("IPO") of Cann Group Limited ("Cann Group") on the
Australian Stock Exchange ("ASX") as the cornerstone investor,
securing a 19.9% stake in Cann Group, the first company in
Australia ever to be licenced for
research and cultivation of medical cannabis for human use.
The joint lead manager and underwriters to the offer are
Canaccord Genuity (Australia)
Limited and PAC Partners Pty Ltd. Under the terms of the
subscription agreement Aurora has committed to subscribe for
21,562,314 'new fully paid ordinary shares' in Cann Group at the
IPO offer price per share of AUD $0.30. Aurora's total investment of AUD
$6.5M (approximately CAD $6.6M) represents 47% of the AUD $13.5M offer. Following completion of the IPO
expected in May, 2017, Aurora will hold 19.9% of the fully paid
ordinary shares in Cann Group.
The Commonwealth government in Australia amended its Narcotic Drugs Bill in
February 2016 to legislate medical
cannabis to provide an Australian supply and to encourage pathways
to clinical trials. Cann Group seeks to become a leading producer
and supplier of medicinal cannabis products to Australian patients.
Cann Group is the first Australian company to be granted the
necessary licences to cultivate medical cannabis for both research
and human use, through its wholly owned subsidiary Cannoperations
Pty Ltd.
Aurora's Chief Global Business Development Officer, Neil Belot said, "Cann Group's first mover
advantage in Australia is a
testament to their team's experience and ability to execute their
business strategy. This historic IPO is an excellent opportunity
for Aurora to establish a meaningful relationship with Australia's first licensed medical cannabis
producer under the new legislation."
"We believe that there is potential for Australia to become a leading market for
medical cannabis research, innovation, investment and
commercialization, given the country's regulatory framework, its
entrepreneurial business environment, and the high quality of local
talent," said Terry Booth, CEO of
Aurora. "The team behind Cann has a wealth of experience, and we
are committed to supporting them fully, as Australia's cannabis industry develops."
"We are very excited about Cann Group's market opportunity,
we're confident in our business strategy, and we look forward to
welcoming Aurora to Australia,"
said Peter Crock, CEO of Cann Group.
"As the first company in Australia
to be granted medical cannabis research and cultivation licences,
we believe we have a strong future ahead of us. The enthusiasm,
support and detailed insights we have received from Aurora have
been incredibly helpful, and strengthen our proposition. We are
poised to build on that foundation and work collaboratively to be
leaders in the development of the medical cannabis industry in
Australia."
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). The Company operates a 55,200 square foot,
state-of-the-art production facility in Mountain View County,
Alberta, and is currently
constructing a second 800,000 square foot production facility,
known as "Aurora Sky", at the Edmonton International Airport. The Aurora Sky
project has secured advanced technology from the most renowned
design and construction suppliers in the
Netherlands. Aurora's common shares trade on the TSX-V 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. There is no
assurance that the Proposal will be completed on the terms or
within the timeframe contemplated in this news release or at
all. 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.
Neither 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.