+ 0.15
+ 0.09%

Aurora Cannabis CEO Terry Booth To Retire Amid Company 'Transformation'

February 6, 2020 5:18 pm
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More

Aurora Cannabis Inc. (NYSE:ACB) shares were dropping Thursday following the announcement that co-founder and CEO Terry Booth will retire.

Aurora, an early darling of the cannabis industry, said in a press release that Executive Chairman Michael Singer will become interim CEO.

BNN Bloomberg had reported earlier in the day that the company would cut its workforce by about 10%.

In the statement announcing Booth's retirement, the company also laid out a plan to increase the size of its board, and said it was undertaking a "business transformation plan."

"These combined changes are consistent with, and evidence of Aurora's commitment to, achieving positive EBITDA and cash flow as rapidly as possible, while still maintaining the ability to capitalize on longer-term Canadian and global cannabis market opportunities," the company said.

Aurora said two new independent directors will join the board, taking it to 10 members.

See Also: Tilray, Aurora Cannabis Layoffs May Signal Industrywide Problem

Rationalizing Expenditures

It said the transformation plan would "reduce the company's expense base, rationalize capital expenditures, and better align its balance sheet with current market conditions."

"The timing is right to announce my retirement with a thoughtful succession plan in place and the immediate expansion of the Board of Directors," Booth said in the statement. "These changes, along with the financial transformation which we are undertaking, should clearly demonstrate to investors that Aurora has the continuity, strategic direction and leadership it needs to transition from its entrepreneurial roots to an established organization well positioned to capitalize on a global growth opportunity."

ACB Stock Price

Aurora's stock closed down 5.6% Thursday, and was down another 11% in after hours trading to $1.78 per share.

Benzinga's Cannabis Capital Conference returns to Miami Feb. 24-25 with North America's largest B2B cannabis gathering, bringing together capital, cannabis executives, thought leaders and more!

Related Articles

Cannabis Stock Gainers And Losers From October 28, 2020

GAINERS: Cannabix Technologies (PINK: BLOZF) shares closed up 16.7% at $0.36 read more

Cannabis Stock Gainers And Losers From October 27, 2020

GAINERS: Zenabis Global (PINK: ZBISF) shares closed up 35.32% at $0.06 read more

Blueberries Medical CEO Resigns

Latin American cannabis producer Blueberries Medical (CSE: BBM) (OTCQB: BBRRF) announced on Monday the resignation of CEO Camilo Villalba. Blueberries said Villalba will remain associated with the company as a consultant. read more

Cannabis Stock Gainers And Losers From October 23, 2020

GAINERS: CB2 Insights (OTCQB: CBIIF) shares closed up 15.07% at $0.45 read more

Cannabis Stock Gainers And Losers From October 22, 2020

GAINERS: BioHarvest Sciences (PINK: CNVCF) shares closed up 13.64% at $0.13 read more