Aurora Cannabis forces conversion of C$5 million of debentures

New York, Oct. 20 – Aurora Cannabis Inc. exercised the forced conversion option on the remaining C$5 million of its 10% unsecured convertible debentures due March 28, 2018.

The company has the right to convert the bonds to stock because its common stock has traded above C$2.00 for 10 consecutive trading days, as measured by the volume-weighted average price on the TSX Venture Exchange, according to a news release.

Holders will receive common stock at a conversion price of C$1.15 for the principal amount of the debentures plus accrued interest up to Nov. 23, the effective date of the conversion. In total, the company will issue 869.5652 shares per C$1,000 principal amount.

The company previously converted C$10 million of the debentures on Oct. 18.

“We are very pleased to convert these debentures, providing Aurora with an additional $5 million in permanent capital, further improving our balance sheet and our industry-leading cash position,” said Terry Booth, the company’s chief executive officer, in a news release.

Aurora Cannabis is a Vancouver, B.C. producer of medical cannabis.

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