Aurora Cannabis (ACB) is pushing back hard against two recent news stories that circulated on Wednesday by calling them completely false. One of the articles claimed that Aurora had agreed to acquire a New Zealand-based medical cannabis company, MedLeaf Therapeutics, in a $215 million cash and stock deal. The second article reported that Aurora had entered into a strategic partnership with MediPharm GmbH to distribute medical cannabis throughout Europe. Both articles cited Aurora CEO Miguel Martin and referenced U.S. SEC filings as sources.
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However, Aurora’s Vice President of Communications, Michelle Lefler, quickly denied the claims, stating in an email to Yahoo Finance Canada that “neither of these stories are true in any way” and that the company is treating the matter very seriously. She confirmed that Aurora is already taking the necessary steps to address the situation.
Despite Aurora posting strong quarterly results earlier that same day, shares dropped by more than 20% on the Toronto Stock Exchange, which was likely due to the confusion and misinformation. The company has clarified that no such acquisition or partnership has occurred and emphasized that any statements to the contrary are entirely fabricated. Aurora is now working to correct the record and contain the damage from the misleading reports.
Is ACB Stock a Good Buy?
Using TipRanks’ technical analysis tool, the indicators seem to point to a negative outlook for ACB stock. Indeed, the summary section pictured below shows that three indicators are Bullish, compared to five Neutral and 14 Bearish indicators.
