Matt Maurer’s article “CanniMed Sues Aurora Cannabis for $725,000,000” has been published on slaw.ca on January 16, 2018.
CanniMed Sues Aurora Cannabis for $725,000,000
After the markets closed this past Friday, January 12, 2018, CanniMed Therapeutics Inc. (“CanniMed”), announced that it had commenced a lawsuit against Aurora Cannabis Inc. (“Aurora”) and a number of large CanniMed shareholders.
In the announcement, CanniMed indicated that the claim was for $725 million in damages resulting from the defendants’ (alleged) “unlawful actions that have negatively affected the appreciation of the value of common shares of CanniMed and prevented CanniMed from pursuing alternative change of control transactions for the benefit of the CanniMed shareholders.”
While the press release contained only high level details, the 28 page Statement of Claim provides a very detailed account of the background leading up to the proposed CanniMed – Newstrike transaction and how certain CanniMed shareholders and Directors allegedly breached confidentiality and fiduciary duties and “hijacked” the board’s process in order to kill the CanniMed – Newstrike deal and facilitate Aurora’s bid to acquire CanniMed…Read the full article here.