Photo: Justin Tang, The canadian Press
The securities Commission of Ontario has issued a cease trade order for all of the securities issued by CanniMed Therapeutics.
Toronto — two canadian companies of marijuana in the heart of an attempt of hostile takeover, they met a regulatory decision that gives them each some items that they wanted.
The securities Commission of Ontario has issued a cease trade order for all of the securities issued by CanniMed Therapeutics as a defence against a hostile takeover by Aurora Cannabis.
For its part, Aurora must amend its circular control, and announcements related to include certain information that may affect shareholders of CanniMed when they will decide to accept or reject the offer.
Among other things, Aurora must disclose how she knew that the council of CanniMed is due to meet on 13 November to consider an agreement on the acquisition of Newstrike Resources — an agreement that Aurora wishes to abandon.
The order dated December 22, but released on Wednesday — has been made following a joint hearing last week that involved the securities commissions of Ontario and Saskatchewan.
CanniMed has argued that Aurora had worked in collaboration with some of its shareholders, an assertion contested by Aurora. One of the conditions of the acquisition is the abandonment by CanniMed its plan to purchase the company’s toronto-based Newstrike.