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ACB - Aurora Cannabis Inc News Story

$14.08 -1.3  -8.2%

Last Trade - 29/05/20

Sector
Healthcare
Size
Mid Cap
Market Cap £1.24bn
Enterprise Value £1.44bn
Revenue £179.9m
Position in Universe 1920th / 6364

U.S. cannabis firm Tilt names new CEO as it charts recovery path

Wed 19th February, 2020 1:30pm
Feb 19 (Reuters) - Cannabis firm Tilt Holdings Inc  TILT.CD 
named interim boss Mark Scatterday as chief executive officer on
Wednesday, tasking him with turning around a company that
teetered on the brink of collapse last year and lost almost $1
billion in market value.
    Tilt, one of the top five U.S. cannabis companies by
revenue, also appointed Chief Operating Officer Tim Condor to
the additional role of president.
    Formed by a four-way merger late in 2018, Tilt is also
considering plans to sell its pot production business, among
other options, as it sharpens its focus on cannabis-related
technology, Condor told Reuters in an interview.
    Scatterday and Condor moved into Tilt leadership roles last
year, months after the company wrote down its assets by about
$500 million to just $7 million as the sector struggles with
oversupply, a sluggish retail rollout in Canada and
uncertainties about the legalization of weed in the United
States.
    Several top cannabis producers including Aurora Cannabis Inc
 ACB.TO  and Tilray Inc  TLRY.O  have announced layoffs and
other cost-cutting measures to cope with the slump.
    Scatterday and Condor said Tilt does not need to raise
capital in the near future or make sweeping layoffs.
    Tilt reported an adjusted profit for the third quarter in
November, helped by lower costs and a focus on high-margin
businesses such as the vaping hardware maker Jupiter Research,
which was founded by Scatterday.
    Scatterday, who joined Tilt in late 2018 when it bought
Jupiter, said the business took a hit in the fourth quarter
because of bans on vaping in multiple U.S. states but was now
growing again.
    "We're really not concerned about it anymore... As we
progress into 2020, those concerns have really subsided... now
that there's been a focus on removing illicit or black market
products," Scatterday said.

 (Reporting by Shariq Khan in Bengaluru; Editing by Saumyadeb
Chakrabarty)
 ((Shariq.Khan@thomsonreuters.com; Within U.S.+1 646 223 8780,
outside U.S. +91 80 6182 2681; Twitter: @s_qakhan))
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