Aurora Further Strengthens Balance Sheet
with Accretive Debt Reduction
EDMONTON, AB, June 3, 2022
/PRNewswire/ - Aurora Cannabis Inc. ("Aurora" or the "Company")
(NASDAQ: ACB) (TSX: ACB), the Canadian company defining the future
of cannabinoids worldwide, today announced that it has repurchased
an aggregate of approximately $25.3
million (US$20 million)
principal amount of its convertible senior notes ("Notes") at a
total cost, including accrued interest, of $24.3 million (US$19.2
million) in cash.
The purpose of the transaction, which represents a repurchase of
a portion of the Notes at a 5.25% discount to par value, was to
reduce the Company's debt and annual cash interest costs. Annual
cash interest savings from the repurchases of Notes made from Q3
2022 onwards now total $9.5 million
(US$7.5 million).
Aurora's balance sheet is among the strongest in the industry
with approximately $455 million in
cash inclusive of the transaction announced today, and the Company
reiterates its expectation of achieving a positive Adjusted EBITDA
run rate by the first half of fiscal 2023.
This announcement does not constitute an offer to sell, or a
solicitation of an offer to buy, any security and shall not
constitute an offer, solicitation or sale in any jurisdiction in
which such offering would be unlawful.
About Aurora
Aurora is a global leader in the
cannabis industry, serving both the medical and consumer markets.
Headquartered in Edmonton,
Alberta, Aurora is a pioneer in global cannabis, dedicated
to helping people improve their lives. The Company's adult-use
brand portfolio includes Aurora Drift, San Rafael '71, Daily
Special, Whistler, Being and Greybeard, as well as CBD brands,
Reliva and KG7. Medical cannabis brands include
MedReleaf, CanniMed, Aurora and Whistler Medical Marijuana Co.
Driven by science and innovation, and with a focus on high-quality
cannabis products, Aurora's brands continue to break through as
industry leaders in the medical, performance, wellness and adult
recreational markets wherever they are launched.
Aurora's common shares trade on the NASDAQ and TSX under the
symbol "ACB" and is a constituent of the S&P/TSX Composite
Index.
Forward Looking Statements
This news release
includes statements containing certain "forward-looking
information" within the meaning of applicable securities law
("forward-looking statements"). Forward-looking statements are
frequently characterized by words such as "plan", "continue",
"expect", "project", "intend", "believe", "anticipate", "estimate",
"may", "will", "potential", "proposed" and other similar words, or
statements that certain events or conditions "may" or "will" occur.
Forward-looking statements made in this news release include, but
are not limited to, statements regarding the purpose of the debt
repurchase and the Company's path and timing to achieve Adjusted
EBITDA run rate.
These forward-looking statements are only predictions. Forward
looking information or statements contained in this news release
have been developed based on assumptions management considers to be
reasonable. Material factors or assumptions involved in developing
forward-looking statements include, without limitation, publicly
available information from governmental sources as well as from
market research and industry analysis and on assumptions based on
data and knowledge of this industry which the Company believes to
be reasonable. Forward-looking statements are subject to a variety
of risks, uncertainties and other factors that management believes
to be relevant and reasonable in the circumstances could cause
actual events, results, level of activity, performance, prospects,
opportunities or achievements to differ materially from those
projected in the forward-looking statements. These risks include,
but are not limited to, the ability to retain key personnel, the
ability to continue investing in infrastructure to support growth,
the ability to obtain financing on acceptable terms, the continued
quality of our products, customer experience and retention, the
development of third party government and non-government consumer
sales channels, management's estimates of consumer demand in
Canada and in jurisdictions where
the Company exports, expectations of future results and expenses,
the risk of successful integration of acquired business and
operations, management's estimation that SG&A will grow only in
proportion of revenue growth, the ability to expand and maintain
distribution capabilities, the impact of competition, the general
impact of financial market conditions, the yield from cannabis
growing operations, product demand, changes in prices of required
commodities, competition, and the possibility for changes in laws,
rules, and regulations in the industry, epidemics, pandemics or
other public health crises, including the current outbreak of
COVID-19, and other risks, uncertainties and factors set out under
the heading "Risk Factors" in the Company's annual information form
dated September 27, 2021 (the "AIF")
and filed with Canadian securities regulators available on the
Company's issuer profile on SEDAR at www.sedar.com and filed with
and available on the SEC's website at www.sec.gov. The Company
cautions that the list of risks, uncertainties and other factors
described in the AIF is not exhaustive and other factors could also
adversely affect its results. Readers are urged to consider the
risks, uncertainties and assumptions carefully in evaluating the
forward-looking statements and are cautioned not to place undue
reliance on such information. The Company is under no obligation,
and expressly disclaims any intention or obligation, to update or
revise any forward-looking statements, whether as a result of new
information, future events or otherwise, except as expressly
required by applicable securities law.
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SOURCE Aurora Cannabis Inc.