Aurora Cannabis Inc

Curaleaf Holdings has begun a takeover bid for Canadian cannabis retailer Aurora Cannabis, valuing Aurora at around $260 million. Under the proposal, Aurora shareholders would receive 0.3463 Curaleaf shares and $0.75 in cash per Aurora share, for a total consideration of $4 per share, capped at $5 per share if Curaleaf's stock rises above a set level. Aurora closed Friday at $3.94. The move would improve Curaleaf's global footprint and leverage its operational expertise to sell Aurora's high-quality products, despite Aurora's first-quarter fiscal 2027 EPS loss of $0.07 and $93.7 million in debt. The expected rescheduling of marijuana from Schedule I to Schedule III of the Controlled Substances Act may prompt other mergers and acquisitions, as larger companies will pay less in taxes and have more money to expand. Green Thumb Industries, one of the most profitable U.S. cannabis retailers with more than 140 stores across 14 markets, is likely to pursue smaller, single-state operators or distressed assets in limited-license states rather than megamergers, given its disciplined approach and $283.6 million in cash at the end of the second quarter.

Several major acquisition deals were reported across sectors this week. Workday soared 19% on a report that private equity firm Silver Lake is in talks to buy the software company. Diversified Energy is in advanced talks to acquire Elliott Investment Management-backed oil and gas company Birch Resources for more than $1.7 billion in cash. EQT Infrastructure offered to buy Cleanaway Waste Management in a deal that values the Australian listed firm at about A$6.9 billion, or $4.9 billion. H.B. Fuller said it received an unsolicited proposal from Ancora Holdings to buy its building adhesives solutions business for $1.1 billion to $1.2 billion in cash. Aurora Cannabis soared 21% after Curaleaf Holdings said it plans to make a $4 per share takeover bid, with Curaleaf rising 6.7%. H&R Real Estate Investment Trust agreed to be acquired by GO Residential Real Estate Investment Trust and a consortium including Blackstone, Crestpoint, PSP Investments and a company controlled by members of the family of H&R CEO Tom Hofstedter in a deal valued at about C$6.7 billion, including assumed debt. Israeli AI startup Decart is in advanced talks to be sold to a major tech firm for $6 billion to $7 billion. Jazz Pharmaceuticals announced it will acquire privately held Actio Biosciences for $820 million upfront and up to $500 million in potential milestones.

Aurora Cannabis reported fiscal first quarter 2027 results for the period ending June 30, 2026, with net revenue of $67.6 million and adjusted gross margin of 58%. International medical cannabis net revenue rose 17% to $43 million, driven by strong performance in Germany, and about 64% of total net revenue was generated outside of Canada, up from 50% last year. Adjusted EBITDA was $3.4 million compared to $10.8 million in the prior year, while adjusted net income was $3.8 million compared to $6.6 million last year. The company ended the quarter with nearly $150 million in cash, cash equivalents, and short-term investments with no debt. Aurora reaffirmed its fiscal 2027 outlook and expects revenue and adjusted EBITDA to be substantially higher in the fiscal second quarter than in the first quarter.

Spot gold climbed to $4,395 an ounce, its highest level since June 5, while U.S. existing home sales fell 1.7% month-over-month in July to an annualized rate of 4.06 million units. Aurora Cannabis shares soared 15% in premarket trading after Curaleaf Holdings announced a $4 per share public takeover bid, a 38% premium to Monday's close. A U.S. military helicopter struck a Panama-flagged vessel attempting to run the American blockade of Iranian ports after the crew ignored warnings, with no casualties reported. The SPDR Gold Shares ETF recorded $637 million in total inflows on Wednesday, its biggest single-day haul since June 18, pushing August inflows above $1.4 billion and positioning the fund for its first monthly net inflow since February.

Aurora Cannabis reported a 17% increase in international medical cannabis revenue to C$43.3 million in its fiscal first quarter ended June 30, 2026, even as total net revenue fell 9% to C$67.6 million due to a Canadian reimbursement cut and the wind-down of its consumer business. Adjusted gross margin reached 58%, the high end of the company's full-year guidance, while adjusted EBITDA declined to C$3.4 million from C$10.8 million a year earlier. The company's newly acquired Safari facility contributed positively to adjusted EBITDA in its first quarter and received a three-year EU-GMP certification, expanding internal supply for high-margin international markets. Management expects higher second-quarter revenue and adjusted EBITDA, and Street estimates point to a return to growth and positive free cash flow in fiscal 2028. Aurora ended the quarter with C$149.1 million in cash, restricted cash, and short-term investments and no debt.