- Aurora Cannabis (TSX:ACB) founder and ex-CEO, Terry Booth, has announced the sale of almost 80 per cent of his holding
- Booth has sold 12,161,900 common Aurora shares, worth more than C$13 million
- The company announced his resignation in early February this year
- Michael Singer has taken over as Interim CEO
- Aurora Cannabis (ACB) is is currently down 3.74 per cent to $1.03 per share
Aurora Cannabis (TSX:ACB) founder and ex-CEO, Terry Booth, has announced the sale of almost 80 per cent of his holding.
Booth stepped down from his role in early February this year, leaving Michael Singer to take over as Executive Chairman and Interim CEO.
The sale of the 12,161,900 common Aurora shares is worth more than C$13 million, which is a significant portion of his previously held 15,408,167.
Aurora Cannabis has had a disappointing time over the last year, with its share price falling by more than $12.00.
Booth, speaking of his resignation in the February 7 announcement, said that the time was right for him to step aside.
“These changes…should clearly demonstrate to investors that Aurora has the continuity, strategic direction and leadership it needs to transition from its entrepreneurial roots to an established organization well positioned to capitalize on a global growth opportunity.”
However, the day after the announcement was filed, Booth said in an interview with Bloomberg that he’s another casualty of the cannabis industry carnage.
Elaborating, he explained that the demand for cannabis in the Canadian market may not have been what he or the company was expecting.
In conjunction with his resignation, Aurora also announced that it would lay off roughly 500 staff.
“Should we have scaled down sooner? Maybe. But we’re talking months, not years,” Booth said in the interview.
In today’s announcement, Singer didn’t comment directly on Booth’s sale of the shares, but instead sought to reassure investors that the plan was still in action.
“The Board and management remain focused on the plan we laid out in February and we are progressing as planned toward appropriate capital allocation, balance sheet strength, and profitability.
“We look forward to updating the markets on our next quarterly earnings call,” he said.
Aurora Cannabis (ACB) is currently down 3.74 per cent to $1.03 per share at 10:14am EST.