Decisive manoeuvring on managements behalfI for one, didn’t dump and run so my perspective is skewed to reflect a best case scenario...
The website has already been updated - there’s a new (interim) CEO at the helm and they have addressed the issue head on with a decisive plan to appeal. Blair Jordan has an impressive resume with solid fiscal pedigree and i’m Sure the rest of his team are equally motivated to right the ship.
The review by an independent committee will ensure they’ve cut high enough to eliminate the cancer - or so to speak. This will provide HC with more transparency and enforce the notion that they are prepared to take all and more corrective action to preserve the viability of the entire company (here and in the US). They have also hired a law firm to help navigate the appeals process. This bodes well, especially if as I suspect, they have chosen a reputable firm with expertise in the process.
The wording of the announcement was curious. It sounded a bit to me as though they were saying ‘these guys’ (Campbell, Poelzer and Parr) did something wrong as opposed to ‘we’ did something wrong. It could be that HC May be satisfied with the actions taken and don’t necessarily hold the disdain for the company as much as the three individuals. Also, that it supposedly happened before they were a publicly traded company. The government is looking to make examples of wrongdoers to show they are serious about enforcement. At this junction so early in the game, there may be some forgiveness in return for validation.
Finally, the announcement states “it INTENDS to revoke Agrima’s license. We still have the appeal process and it could be HC doesn’t necessarily want to revoke the license and is giving the company every chance to correct their issues. Politically speaking, the federal party in charge tend to be more forgiving, and Prefer rehabilitation over penalty. This could be a favourable environment as opposed to hostile.
I’m a bag holder over at THC and it looks like i’ll Be a bag holder here too. However, i’m certainly prepared to ride this out. Based on the merits and metrics of the company itself though, i’m Prepared to test my personal limits of faith as the upside remains just too tempting...
Good Luck All!!