Aurora Cannabis, MedReleaf: halted on merger talks report

East Side Games

03/05/2018 17:33

** Shares of Canadian weed companies Aurora Cannabis
 ACB.TO  and MedReleaf  LEAF.TO  halted following merger chatter
    ** MedReleaf was on the block and had contacted several
possible suitors, with Aurora submitting a friendly offer, the
Globe and Mail reported https://www.theglobeandmail.com/business/streetwise/article-medreleaf-seeking-buyer-as-pot-industry-consolidates-sources,
 citing sources
    ** ACB was up 1.26 pct when trading was halted; LEAF was
halted with the stock up 2.39 pct at C$22.30, valuing the
company at about C$2.25 bln ($1.75 bln)
    ** A deal would make Aurora Canada's biggest legal cannabis
company by market cap, dethroning Canopy Growth  WEED.TO , the
Globe and Mail says 
    ** WEED was up 0.81 pct, valuing Canopy at about C$6 bln;
Aurora market cap C$4.46 bln as of Weds
    ** MedReleaf has contacted other large players, including
Canopy and Aphria Inc  APH.TO , report says; APH up 0.61 pct
    ** On Tuesday, Aurora completed its acquisition of CanniMed,
which was worth C$1.1 bln when announced in Jan  urn:newsml:reuters.com:*:nL4N1PJ4F5 and
the largest deal in the history of the country's young cannabis
sector  urn:newsml:reuters.com:*:nCNWBdstwa
    ** Canada weed stocks have been bummed out by legalization
delays, government controls  urn:newsml:reuters.com:*:nL3N1RN592
    ** Canada's Horizons Marijuana Life Sciences exchange-traded
fund (ETF)  HMMJ.TO  has slumped ~37 pct since its January peak

 (Reporting by Savio D'Souza)
 ((RM:savio.dsouza.thomsonreuters.com@reuters.net))