Globe says Aphria plays defence as stock keeps sliding

Aphria Inc (C:APHA)
Shares Issued 249,751,622
Last Close 12/4/2018 $5.99
Wednesday December 5 2018 - In the News

The Globe and Mail reports in its Wednesday edition that Aphria was on the defensive for the second day in a row after short-sellers took aim at one of its recent deals and sparked a sell-off that has sent its shares tumbling by more than 40 per cent this week. The Globe's Christina Pellegrini writes that on Tuesday morning, Aphria once again stood behind its $300-million deal to acquire a company that owns cannabis assets in Jamaica, Colombia and Argentina. 

Aphria elaborated on a statement Monday that called short-sellers' allegations "false and defamatory," by noting that it has 100 employees in the three countries. It also refuted some of the short-sellers' claims, including the contention that Aphria has not grown any cannabis at its outdoor farm in Kingston, Jamaica. 

The company said on Tuesday it has harvested 2,500 kilograms to date. Aphria added that executives, including chief executive officer Vic Neufeld, personally bought more than $3.1-million in company stock on Monday as shares plummeted. Aphria's most recent defence did little to halt the fast decline of its stock. The Globe notes that Aphria's shares fell 21 per cent Tuesday to $5.99 in Toronto. They started the week above $10.

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