RE:The Lovely Cannabis ExecutivesFor a company with past shareholder trust issues, Aphria isn't doing itself any favours by accepting an anonymous below the market (at the time) dilutive offering.
It doesn't help that this offering came while the statement from the 80M Aphria Diamond loan was arranged to maintain shareholder value by being non-dilutive.
Additional disclosure is needed if Aphria wants to keep short sellers at bay. Can you image where the stock price would be if Hindenburg came out and tweeted that the 100M was somehow connected to Andy (even remotely)?
The timing of Irwin's SBC via RSUs is in my opinion unfortunate timing as is the coronavirus pandemic, but those two factors don't help either.
It could be worse - the anonymous investor could walk away after realizing they are signing up for a 10M+ loss by closing the deal unless part of the funds are coming from a cannabis short.
treehugger2 wrote: Along with their board of Directors all deserve to be FIRED. They award themselves exorbitant wages and inflated bonuses that coast the shareholders and their corporations millions each year. In my view, the Cannabis executives across the board behave as if they had been starved as Children and/or as if ‘bosses’ with no accountability. Considering the difficulty their corporations are in at this time, if these beauties were any men at all, they would have temporarily forgone their excessive salaries (most of it) for one year at least, or until their companies were out of financial difficulties.
In Aphria's case for example, had they implemented the above scenario, the massive salaries that the upper administration take for one year (this year) would have amounted to half (if not more) of the secret investor’s $100M. Pretty sure, the wages that the members of the upper management received last year is enough to support their lifestyles for many years into the future. Instead, they chose the secret investor’s investment. This new investment is responsible for the precipitous cascade of Aphria’s share price at this time.
As retail shareholderse we have been made witness to a major setback. Easily, we could have been close to $9 today SP wise, I think. Instead, what we got? Within 3 - 4 days, $2 down. The stock was heading up marvellously, but Irwin picked the right moment to announce the $100M investment. And to rub salt in the wound, they kept/keep this $100M investor secret. Yikes….