Curaleaf CEO Defends Hostile Aurora Bid: “We Wanted To Be Friendly”

Curaleaf's CEO and chairman Boris Jordan has defended his company's hostile $4 per share bid for Aurora Cannabis. In an interview, Jordan stated that he attempted to make the offer in a friendly manner. According to Jordan, he first contacted Aurora CEO Miguel Martin in late June, but Martin was not interested in discussing the potential deal.

Jordan claims that Martin told him he needed to present the offer to the board and requested a response within five business days. Curaleaf then submitted a letter of intent on July 7, offering $4 per share in cash and stock, which Jordan claimed was a 45% premium to Aurora's stock price at the time. Aurora responded by stating that the offer did not specify the cash-stock mix and that the $5 cap mentioned in the proposal was not included in the original letter.

The company also mentioned that one of its directors had communicated with Jordan recently and did not discourage further dialogue. Jordan believes Aurora's resistance to the bid is due to job security concerns, not strategic reasons, and that Aurora's EU-GMP certified cultivation facility in Canada is unique and valuable. He asserts that Curaleaf could potentially double Aurora's output and that the market is giving the deal its support.