Terry Booth is set to pick up millions of dollars as he unloads his stake
A move from an Aurora Cannabis corporate insider has surprised the cannabis stock market. Its founder, director and former CEO Terry Booth is selling many his company’s shares to the public market. A total of 12,161,900 shares were turned into four separate large sell transactions between the prices of $0.92 and $1.34. His offering represents almost two-thirds of his total position in the company’s equity. This latest move was reported even before the market opened for business this past Monday and, on that same day, he had already sold the largest block of shares for 5,000,000 for $0.925 each.
According to Aurora’s management, this move is part of a transition plan that was announced in the past by the company. Aurora has been going through some important changes, starting with the Booth quitting from his position just last month. However, he is still around as he became a strategic advisor and also kept his seat on the board.
Aurora was, not so long ago, a quite aggressive marijuana company and it seems to be these decisions that were made by the company’s leaders are designed to gain back territory in the industry and have some cash flow. Last month, Aurora also announced some layoffs and a radical strategic change that seems to be happening accordingly.
After these shares are sold, Booth will still hold – though indirectly – 3,246,267 shares, 7,251 common share rights, and over 2,548,878 Aurora stock options to his name. It is still unclear is Booth was just paving the way for his retirement from the company’s leadership, if he wants to step back completely from the business he founded or if this is just a part of a new strategy to have some cash available. Either way, he is about to end up with a huge injection of cash.