RE:RE:RE:RE:RE:RE:RE:RE:soldACB traded almost 500M Shares on the NYSE today. That's 5B DOLLARS CDN worth of shares. This was not a short squeeze, there was not a 400M ($5B) short position on ACB.
Read it again, Aphria takes on a 100M debt facility with the acquisition. 100M ATM To pay for 1/3rd of the move and another 100M of their existing cash on hand. It was a terrible price to pay for a non-cannabis play. The market has spoken.
IrishCanuck wrote: I spit my coffee out reading that. Alright we can agree to disagree after this because I see why you think what you think, I just disagree
1) Aurora just experienced a short squeeze, as did Tilray before earnings on Monday. The same thing that happened before the past few of Aphria's earnings. It's not like everyone was super bullish on Aurora all of a sudden. That's why they have the comparable market cap
2) Aurora just initiated ANOTHER share dilution after they burnt their cash quicker than analysts even predicted. That's wild as a point by itself. That's how bad Aurora is right now
3) In Aphria's Q1 call Carl reiterated they would be free cash flow positive by Q3. You know when Q3 starts? December 1st! Sweetwater is accretive immediately, so we're not even dipping into the remaining 300 million in cash we have for anything. We're so comfortable
4) Acquisitions are still on the table, that's how comfortable we are. The debt is not piling up. That's why management responsibly built the payments across cash on hand, shares and took on some debt. We have SOOOO much flexibility still