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Aphria Inc. APHA

Aphria, which is headquartered in Ontario, produces and sells medicinal and recreational cannabis. The company operates through retail and wholesale channels in Canada and internationally. Aphria is a main distributor of medical cannabis to Germany and has operations in over 10 countries outside of Canada. However, it does not have exposure to the U.S. CBD or THC markets due to the constraints of federal prohibition. It has some U.S. exposure through the acquisition of SweetWater, a craft brewer


NDAQ:APHA - Post by User

Post by kingbearon Dec 18, 2020 1:02pm
227 Views
Post# 32140771

100M in Annual Cost Savings? PFFT

100M in Annual Cost Savings? PFFTThe deal states it will result in 100M annual cost savings after 1-2 years. It's more like Aphria will help Tilray reduce costs by 100M. Tilray has a cost per gram of over $4, Aphria's is under $1. Why does Aphria need to merge with Tilray and help Tilray reduce their costs? This deal helps Tilray big time, it bails them out, but what do Aphria shareholders get out of this?

I think Simon breached fidicuary duty here. He likely gets a big pay increase so it's great for him...but what does Aphria the company, and the shareholders get out of it? I feel like they are going to have to announce some big news here to make this merger look much better or there is a good chance this doesn't get enough votes. 
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