Organigram set the purchase price at C$7.80 per share on a fully diluted equity basis, outbidding Curaleaf’s revised October offer of $5.00 by 21%. Aurora’s board of directors, which had unanimously rejected Curaleaf’s previous overtures, is now urging shareholders to withdraw any stock already tendered to the rival firm. The deal provides investors with flexibility, allowing for payouts in cash, stock, or a mix of both.
In section Market Quotes
Organigram Defeats Curaleaf Hostile Bid with C$561M Aurora Buyout
A three-month takeover battle concluded Monday as Organigram Global secured a deal to acquire Aurora Cannabis for C$561 million. The agreement effectively blocks a hostile advancement from rival Curaleaf Holdings, offering Aurora shareholders a 93% premium over the company's valuation prior to the initial unsolicited takeover attempt in August.
Organigram Chief Executive James Yamanaka stated the merger aims to combine Aurora’s established medical cannabis platform with Organigram’s international footprint to create a diversified global entity. The transaction is underpinned by a £100 million private placement from British American Tobacco and a $210 million credit facility provided by ATB Financial. Aurora shares closed at C$5.89 on Monday, reflecting a 2.1% increase for the year.
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