October 2, 2020 - An investor in shares of Aurora Cannabis Inc. (NYSE: ACB) filed a lawsuit in the U.S. District Court for the District of New Jersey over alleged violations of Federal Securities Laws by Aurora Cannabis Inc. in connection with certain allegedly false and misleading statements made between February 13, 2020, and September 4, 2020.

On September 8, 2020, Aurora Cannabis Inc issued a press release announc[ing] an update on its business operations along with certain unaudited preliminary fiscal fourth-quarter 2020 results. Among other things, Aurora Cannabis Inc announced that the Company expected to record up to $1.8 billion in goodwill impairment charges in the fourth quarter of 2020. In a separate announcement that same day, Aurora announced the appointment of Miguel Martin as the Company's new Chief Executive Officer. Shares of Aurora Cannabis Inc fell $0.99 per share, or 11.63%, to close at $7.52 per share on September 8, 2020.

According to the complaint the plaintiff alleges on behalf of purchasers of Aurora Cannabis Inc. (NYSE: ACB) common shares between February 13, 2020, and September 4, 2020, that the defendants violated Federal Securities Laws.

More specifically, the plaintiff claims that between February 13, 2020, and September 4, 2020, the Defendants made false and/or misleading statements and/or failed to disclose that Aurora had significantly overpaid for previous acquisitions and experienced degradation in certain assets, including its production facilities and inventory, that the Company's purported business transformation plan and cost reset failed to mitigate the foregoing issues, that accordingly, it was foreseeable that the Company would record significant goodwill and asset impairment charges, and that as a result, the Company's public statements were materially false and misleading at all relevant times.